Varonis Systems (VRNS) fair value: what the stock is really worth
As of Nov 6, 2026: fair value (intrinsic value) of Varonis Systems stock $23.81, price $48.80, that is 51.2% below the price, quality 50 out of 100. Rating: strongly overvalued. Calculated from audited financials with 7 of our 26 valuation models and 37 quality factors, updated daily.
69 individual criteria per stock, every one traceableSee the method →
Price vs Fair Value
White line = price, green steps = our fair value per fiscal year. As of Nov 6, 2026.
How to read this chart
60‑month range $16.01 – $73.41 · fair‑value band $12.11 – $42.31 · the $48.80 price screens above the $23.81 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). 1 fiscal year is left out: there the valuation rested on only a fraction of the usual models. As of Nov 6, 2026.
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Varonis Systems, Inc. provides software products and services that continuously discover and classify critical data, remediate exposures, and detect advanced threats with AI-powered technology in North America, Europe, APAC, and rest of worlds.
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The company offers Varonis Data Security Platform, a Software-as-a-Service solution which includes Data security posture management, Data access intelligence, Data discovery & classification, Discovery policy library, least privilege automation, Data activity monitoring, Data detection and response, and User & entity behavior analytics.
It also provides Protection Packages, such as Microsoft 365, Windows & NAS, Hybrid, and Cloud Environments, as well as Database and Email Security Capabilities and On-Premises Subscription Products.
It serves the financial services, public, healthcare, industrial, insurance, energy and utilities, technology, construction and engineering, education, and consumer and retail industries. Varonis Systems, Inc. was incorporated in 2004 and is headquartered in Miami, Florida.
Stock analysis
Varonis Systems (VRNS) currently trades at $48.80, while our model-based Fair Value estimate is $23.81, 51% below the price, so the stock looks overvalued today.
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Valuation
Bull case: the Growth DCF group reads highest at a median of $28.10 per share, and 0 of the 7 models we run sit above the $48.80 price.
Bear case: the Multiples group reads lowest at $12.04, and 7 of the 7 models stay below the price. Data coverage for this calculation is low.
Scenario range: $12.11 (bear) to $42.31 (bull), the price of $48.80 sits above it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target.
Quality & growth
The Quality Score stands at 50/100 (solid quality), in the Technology sector.
Mixed Growth: Revenue is growing, but margins or cash flow do not fully confirm the trend.
Varonis Systems reported revenue of $624M in FY2025 versus $390M in FY2021, a compound +12.4%/yr. Reported net income was −$129M in FY2025.
Key figures
Market cap $5.6B Mid · P/S ratio 7.82 · EPS (TTM) $−1.32 · Net margin −21.4% · Return on equity −29.5% · Return on assets (EBIT) −9.3% (5-year average) · Operating margin −25.2% · Revenue (TTM) $716M.
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 17 out of 100 (low confidence).
What moves the price
The share trades about 3% below its 52-week high and 142% above its 52-week low, currently above its 200-day average.
For context, the median of 10 Technology peers we cover trades at −11% fair-value upside, at −51%, VRNS screens richer than that median.
Fair Value models
Bear$12.11Fair Value $23.81Bull$42.31
Price $48.80 · Downside -51.2%
Model ⓘEach model values the company its own way (discounted cash flow, earnings, assets, dividends). The fair value above starts from their evidence-weighted blend, not from a single model. In cyclical trough or peak years, after dilution or a stock split it is adjusted afterwards, so it can sit above or below the models.Bear ⓘBear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull ⓘBull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. If a model's bull case is above four times its base value, the table shows that limit with a > sign (like the overall Bull above): beyond it no assumption holds.Coverage ⓘCoverage = how well-backed THIS model's estimate is for this stock (0–100): how complete and reliable its input data are, and how well the model fits the company. The final Fair Value is an evidence-weighted blend, so better-evidenced models count more. Green ≥70, amber 50–69, grey below 50.
In the last 6 months, no officer or director bought or sold shares on the open market.
BuyRachel PrishkolnikDirector1,015 shares at $25.72$26,106Feb 19, 2026
BuyDavid BassEVP Engineering & CTO2,980 shares at $23.47$69,941Feb 9, 2026
BuyYakov FaitelsonCEO, President, Chairman, Director26,725 shares at $22.41$598,907Feb 9, 2026
BuyAvrohom J. KessDirector17,800 shares at $22.29$396,762Feb 6, 2026
BuyJohn J Gavin JrDirector5,000 shares at $22.54$112,700Feb 6, 2026
Plus 2 other filings such as grants, option exercises or tax withholding. They are not market purchases or sales.
Sales are often planned (taxes, diversification, 10b5-1 plans). Purchases with their own money are seen as the stronger sign. For information only: not part of the quality score or Fair Value.
Growth Quality ⓘGrowth is valuable only when reinvestment earns attractive returns (Aswath Damodaran): sustainable growth depends on return on capital, reinvestment and efficiency. Basis: total company revenue over the periods shown on the cards (3Y/5Y/all years), not per share, so a merger can show up as a growth jump; per-share earnings growth is in the value-creation card.67/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Revenue growth 1 year
+13.2%
Revenue growth 3 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+9.6%
Revenue growth 5 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+16.3%
Start year 2020 (pandemic). Over 10 years: +17.2% a year
Revenue growth 15 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+22.7%
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Profit margin (trend) ⓘOperating margin then vs now, from reported annual statements. A falling margin after a boom year is the classic peak-earnings signal: the growth rate then leans on an inflated base.
−26.8% (2020) → −23.5% (2025)
What shareholders gained per year ⓘWe only publish this rate when it is defensible. Reason: fiscal 2025 is a loss year, no rate is defined from a loss
not computed
Growth Forecast
A lot of optimism in the price
The price assumes more growth than the company has delivered so far and more than analysts expect.
What the price assumes ⓘThis turns our valuation around: instead of asking what the share is worth, it asks what growth the current price requires. It uses the cash the company keeps after all spending (free cash flow), the same discount rate as our models, five years of growth, then slowing evenly to 2 % a year by year ten. Compared with the analysts' sales forecasts extended to the same five years (at least three analysts, for context only, it does not enter the Fair Value): within 3 percentage points counts as "in line" (amber), below that little optimism (green), above that a lot of optimism (red).
+20.7%
Yearly growth needed for the next five years to justify today's price.
What forecasts expect ⓘAnalysts publish sales forecasts for the next two fiscal years. For the years after that, growth slows evenly to 2 % a year by year ten (2 % is the long-run rate our models use). Projected years are marked as such.
+16.1%
Yearly sales growth analysts expect, extended to five years.
After inflation (USA: IMF forecast 2.4% a year to 2030, 3.1% from 2016 to 2025) that is about +17.9% a year for the price and +13.4% for the forecasts.
News mood ⓘNews mood, the average tone of recent news (98 articles), rated against how stocks are usually covered. 🚀 Hype = unusually upbeat · 🙂 Positive = above average · 😐 Neutral = typical · 🙁 Negative = below average · 😨 Very negative = unusually downbeat. It reflects the tone of coverage, not our valuation.Positive
Recent news coverage is more positive than average.
AI conclusion: The business shows strength in its SaaS transition and automation rollout addressing AI-driven data security needs, yet its main weak point remains persistent net losses with high debt limiting any durable moat.
Main risk: Microsoft, Google and similar hyperscalers could integrate data access governance and security features into their cloud offerings, reducing demand for Varonis standalone solutions and pressuring prices or margins.
Bull case: Varonis could deepen its AI-specific security capabilities and partnerships to become the preferred layer for governing data used by agentic AI tools across multiple clouds.
Bear case: If hyperscalers capture more enterprise security budgets with bundled tools, Varonis could lose significant customers and struggle to maintain ARR growth amid the SaaS transition.
Varonis continues its full shift to SaaS while rolling out automation to handle the surge in data volumes from AI. The new capabilities tie directly into customer needs for security and cost control yet the transition keeps GAAP margins under pressure even as ARR grows. Will the added products finally convert top-line momentum into sustained operating leverage or will the cloud costs keep earnings decoupled from revenue?
Price, fair value, quality and upside side by side.
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Peer GroupⓘHow this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.Software - Infrastructure · 345 stocks
Beats the industry median on 1/11 measures
Overall it trails its industry peers.
Valuation
Quality Score50 · Below median
Fair Value upside−51.2% · Below median
Profitability
Return on assets−7.2% · Bottom 25%
Net margin (12 months)−21.4% · Bottom 25%
Operating margin (12 months)−25.2% · Bottom 25%
Growth and dividend
Revenue growth (quarter YoY)17.3% · Above median
Balance sheet
Debt / equity0.76× · Highest 25%
Valuation Multiplesvs Software - Infrastructure median · lower = cheaper
For bloggers, editors and developers: paste this into your site or blog (a “Custom HTML” block in WordPress), it shows the current fair value and links back here. Free, plain HTML, and welcome. Full data streams (CSV/JSON) at /developers.
Cite: Fair Value Calculator (2026). "Varonis Systems Fair Value". https://www.fairvalue-calculator.com/stock/VRNS
Frequently asked questions
Is Varonis Systems (VRNS) overvalued or undervalued?
As of Nov 6, 2026, our model estimates a fair value of $23.81 versus a price of $48.80, about 51% lower (overvalued).
What is the fair value of VRNS?
Our model-based fair value for Varonis Systems is $23.81 (as of Nov 6, 2026), built from audited fundamentals. The current price: $48.80.
What is the quality score of VRNS?
Varonis Systems has a Quality Score of 50/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the price target for Varonis Systems (VRNS)?
Our model-based price target is the fair value of $23.81 (as of Nov 6, 2026) from 7 valuation models. Cautious scenario $12.11, optimistic scenario $42.31. It is a calculation from audited fundamentals, not an analyst target.
What is the Varonis Systems stock forecast for 2026?
Our models put fair value at $23.81, about 51% lower versus a price of $48.80 (overvalued). Cautious scenario $12.11, optimistic scenario $42.31. The calculation is refreshed regularly with new filings.
What is the revenue of Varonis Systems (VRNS)?
Varonis Systems reported trailing-twelve-month revenue of about $716M (latest available figure, as of Nov 6, 2026).
What growth is priced into Varonis Systems (VRNS)?
For today's price to be fair in a discounted-cash-flow model, Varonis Systems would have to grow free cash flow by +20.7 % per year for five years (discount rate 9.1 %, then slowing evenly to 2 % perpetual growth by year ten). Over the last 5 years revenue grew +16.3 % per year. As of Nov 6, 2026.
What discount rate (WACC) does the fair value of VRNS use?
Our models discount Varonis Systems at 9.1 %: a base by market capitalisation (mid), damped by beta 0.73, country premium for USA. The same rate applies in all 26 models.
What is a reverse DCF?
A reverse DCF turns the usual calculation around. Instead of deriving a value from assumptions, it takes today's price as given and asks: what free-cash-flow growth would a company have to deliver for exactly this price to be fair? The result is not a forecast but the expectation already priced in. For Varonis Systems that is +20.7 % per year for five years, then slowing evenly to 2 % by year ten, using the same discount rate (9.1 %) and the same formula as our fair value.
How much growth has Varonis Systems (VRNS) delivered so far?
Over the past 5 years revenue at Varonis Systems grew +16.3 % a year. The price currently implies free-cash-flow growth of +20.7 % per year. Comparing the two shows how much confidence is in the price: if it demands more than has been delivered, the business has to accelerate for the maths to work.
How fast is the sector of Varonis Systems (VRNS) growing?
The median revenue growth in the sector is +11.5 % a year. That is the yardstick for the growth priced into Varonis Systems (+20.7 % per year): it shows whether the expectation is within the usual range or beyond it.
What is the free cash flow yield of Varonis Systems (VRNS)?
The free-cash-flow yield on the price is 2.40 %: that much free cash flow Varonis Systems produces per unit of market value. When it exceeds the discount rate of our models (9.1 %), the business already earns more than its cost of capital demands, and the price needs little additional growth.
What is the intrinsic value of Varonis Systems (VRNS)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For Varonis Systems it is $23.81 per share (as of Nov 6, 2026), against a price of $48.80. It is the blended result of 7 valuation models in 4 families (DCF Models, Multiples, Asset-Based, Growth DCF).
Is Varonis Systems stock overvalued or undervalued in 2026?
As of Nov 6, 2026, VRNS trades above its calculated fair value: price $48.80, fair value $23.81, a gap of about −51% (overvalued). The calculation is refreshed with each new quarterly report, so the verdict can change during the year.
Is fair value the same as the market price of VRNS?
No. The price is what the market pays today ($48.80); the fair value is what the company's own numbers justify ($23.81). For Varonis Systems the two are $24.99 per share apart. That gap is exactly why we show both numbers side by side.
How much is Varonis Systems worth?
The market values Varonis Systems at about $5.6B (market capitalisation, as of Nov 6, 2026). Per share that is $48.80; our models calculate a fair value of $23.81 per share.
What do the bullish and bearish scenarios say about VRNS?
Our models span a range for Varonis Systems: cautious scenario $12.11, base $23.81, optimistic $42.31 per share (as of Nov 6, 2026, price $48.80). The range comes from different growth and margin assumptions, not from analyst opinions.
What is the PEG ratio of VRNS?
The PEG ratio of Varonis Systems is 7.38 (P/E divided by earnings growth, as of Nov 6, 2026). That is above 1, so the growth is already paid for in the price.
How solid is the balance sheet of Varonis Systems (VRNS)?
Balance-sheet figures for Varonis Systems (as of Nov 6, 2026): return on equity −29.5%, debt of 0.76 per unit of equity. They feed the Quality Score of 50/100, which measures business quality independently of the share price.
How far is VRNS from its 52-week high?
Varonis Systems trades at $48.80, about 3% below its 52-week high of $50.12 and 142% above the low of $20.19 (as of Nov 6, 2026). Distance from the high says nothing about value: that is what the fair value of $23.81 is for.
Which stocks are comparable to Varonis Systems?
From the same area (Technology) we also value Microsoft Corporation, Oracle Corporation, Palantir Technologies Inc, Palo Alto Networks, Inc, among others. Each of them has its own fair-value calculation on this site using the same models, so the comparison is like for like.
Is Varonis Systems stock attractive at the current price?
The data as of Nov 6, 2026: price $48.80, calculated fair value $23.81 (−51%), Quality Score 50/100, from 7 models. Whether that fits your horizon and risk tolerance is your call. We provide the calculation, not investment advice.
How is the fair value of VRNS calculated?
We run Varonis Systems through 7 models from 4 families: DCF Models, Multiples, Asset-Based, Growth DCF. Every model gets the same audited fundamentals; the fair value of $23.81 builds on their evidence-weighted average, with the spread shown as a cautious and an optimistic scenario.
Is it still worth investing in stocks now?
The global stock market currently sits 13.0% above its aggregate fair value. Varonis Systems itself currently trades above fair value. An expensive market is no reason to stay out and no reason to buy everything at once: keep a broad savings plan running, buy single stocks only with money you can do without, and hold part of your money liquid while the market is high. The full picture including sectors is on is it worth investing now.
What is the share price of Varonis Systems (VRNS)?
The closing price on Nov 6, 2026 was $48.80. Our model-based fair value is $23.81, about 51% lower (overvalued). We carry closing prices from our data provider, not a live tick.
What should I pay attention to with Varonis Systems right now?
The price sits above even our optimistic bull case ($42.31). The favourable scenario is already priced in. The model range is unusually wide ($12.11 to $42.31). The outcome hinges heavily on assumptions, so read the point estimate with caution. The large gap to fair value rests on thin data (low evidence): fewer applicable models and a shorter history. Read it with extra caution. Solid but not exceptional quality (50/100) and above fair value, neither a clear bargain nor a standout compounder.
Key figures of Varonis Systems
How large is the market capitalisation of Varonis Systems (VRNS)?
The market capitalisation of Varonis Systems is $5.6B. The stock-market value of the whole company: share price times number of shares. It is what the market asks for the entire business today.
What is the P/S ratio of Varonis Systems (VRNS)?
The price-to-sales ratio of Varonis Systems is 7.82 (last twelve months). Price to sales: market value relative to yearly revenue. Useful when profit is thin or distorted.
What are the earnings per share of Varonis Systems (VRNS)?
Earnings per share at Varonis Systems are $−1.32. Earnings per share over the last twelve months: total profit spread across every single share.
What is the net margin of Varonis Systems (VRNS)?
The net margin of Varonis Systems is −21.4% (last twelve months). How much of every unit of revenue ends up as profit. 10% means 10 cents of profit per dollar of sales.
What is the return on equity of Varonis Systems (VRNS)?
The return on equity (ROE) of Varonis Systems is −29.5% (last twelve months). Profit relative to shareholders' equity, how efficiently the company works with its owners' money.
What is the EBIT return on assets of Varonis Systems (VRNS)?
On an EBIT basis the return on assets of Varonis Systems is −9.3% (avg 5y). Operating profit (EBIT) relative to everything the company owns, as a multi-year average. It describes the business model rather than one good or bad year.
What is the operating margin of Varonis Systems (VRNS)?
The operating margin of Varonis Systems is −25.2% (last twelve months). Profit from the core business (before interest and taxes) relative to revenue.
How fast is revenue growing at Varonis Systems (VRNS)?
Revenue at Varonis Systems is growing +17.3% versus a year earlier (3y avg +9.6%). How much revenue grew versus a year earlier (YoY). The 3-year average next to it puts the single year in context.
How much net debt does Varonis Systems (VRNS) carry?
The net debt of Varonis Systems is $369M (fiscal year 2025, ≈ 2.7 yrs of FCF). Debt minus cash on hand. The note shows how many years of free cash flow could in theory pay it off.
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Nov 6, 2026