These are top 10 stocks traded on the Robinhood UK platform in July
Investing.com - RBC Capital raised its price target on Varonis Systems (NASDAQ:VRNS) to $64.00 from $58.00 on Wednesday, while maintaining an Outperform rating on the cybersecurity software provider. The new target sits near the high end of analyst estimates, which range from $47 to $65, according to InvestingPro data.
The price target increase follows Varonis reporting strong quarterly results with 19% annual recurring revenue (ARR) growth. The company’s Software-as-a-Service (SaaS) offerings now account for 69% of ARR as Varonis remains on track to complete its SaaS transition this year. The company maintains impressive gross profit margins of 82.29% and has delivered a solid 22.06% return year-to-date.
RBC Capital noted that Varonis has raised its calendar year 2025 ARR guidance to 17% growth, with management targeting growth exceeding 20%. The investment firm expressed increasing confidence in this outlook given several tailwinds. For deeper insights into Varonis’s growth potential and comprehensive financial analysis, check out the detailed Pro Research Report available on InvestingPro, which covers over 1,400 US stocks.
These growth drivers include generative AI developments, traction in the company’s MDDR (Metadata Framework Data Risk) solutions, expanded cloud repository coverage, and the ability to reallocate resources post-SaaS transition toward new customer acquisition and SaaS upsells.
The analyst’s price target adjustment reflects increased estimates for Varonis Systems based on the company’s strong performance and improved growth outlook.
In other recent news, Varonis Systems has reported its second-quarter 2025 earnings, surpassing market expectations. The company achieved an earnings per share (EPS) of $0.03, exceeding the forecasted $0.01. Revenue also outperformed predictions, reaching $152.2 million compared to the anticipated $148 million. Analysts have responded positively to these results, with Needham raising its price target for Varonis Systems to $70, maintaining a Buy rating. Cantor Fitzgerald also increased its price target to $63, keeping an Overweight rating, citing strong performance in the company’s SaaS transition. Varonis Systems’ management expressed confidence in the company’s SaaS migration and the resilient demand environment. The company’s quarterly results exceeded FactSet consensus estimates in key areas, including revenue, annual recurring revenue (ARR), and free cash flow. These developments highlight the company’s ongoing progress and positive reception from analysts.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.