Varonis Systems Valuation

Is 0VOU undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 0VOU when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 0VOU ($49.71) is trading above our estimate of fair value ($40.17)

Significantly Below Fair Value: 0VOU is trading above our estimate of fair value.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for 0VOU?

Key metric: As 0VOU is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for 0VOU. This is calculated by dividing 0VOU's market cap by their current revenue.
What is 0VOU's PS Ratio?
PS Ratio10.3x
SalesUS$546.54m
Market CapUS$5.63b

Price to Sales Ratio vs Peers

How does 0VOU's PS Ratio compare to its peers?

The above table shows the PS ratio for 0VOU vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average4.6x
BLTG Blancco Technology Group
3.9x9.7%UK£173.0m
CNS Corero Network Security
5.7x12.4%UK£109.1m
SGE Sage Group
5.5x7.9%UK£12.8b
SCT Softcat
3.3x10.1%UK£3.2b
0VOU Varonis Systems
10.3x11.6%US$5.6b

Price-To-Sales vs Peers: 0VOU is expensive based on its Price-To-Sales Ratio (10.3x) compared to the peer average (4.8x).


Price to Sales Ratio vs Industry

How does 0VOU's PS Ratio compare vs other companies in the GB Software Industry?

11 CompaniesPrice / SalesEstimated GrowthMarket Cap
0.3xn/aUS$79.55m
SWG Shearwater Group
0.4xn/aUS$10.90m
MBO MobilityOne
0.01xn/aUS$3.00m
CCS Crossword Cybersecurity
0.5xn/aUS$2.46m
0VOU 10.3xIndustry Avg. 2.4xNo. of Companies13PS0246810+
11 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: 0VOU is expensive based on its Price-To-Sales Ratio (10.3x) compared to the UK Software industry average (2.4x).


Price to Sales Ratio vs Fair Ratio

What is 0VOU's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

0VOU PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio10.3x
Fair PS Ratio9.4x

Price-To-Sales vs Fair Ratio: 0VOU is expensive based on its Price-To-Sales Ratio (10.3x) compared to the estimated Fair Price-To-Sales Ratio (9.4x).


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 0VOU forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$49.71
US$60.20
+21.1%
13.0%US$70.00US$37.00n/a19
Nov ’25US$51.61
US$60.20
+16.7%
13.0%US$70.00US$37.00n/a19
Oct ’25US$54.92
US$56.99
+3.8%
14.8%US$67.00US$33.00n/a18
Sep ’25US$56.63
US$56.99
+0.6%
14.8%US$67.00US$33.00n/a18
Aug ’25US$53.07
US$56.76
+7.0%
15.2%US$67.00US$33.00n/a17
Jul ’25US$47.07
US$51.65
+9.7%
15.0%US$65.00US$30.00n/a17
Jun ’25US$42.66
US$51.41
+20.5%
15.0%US$65.00US$30.00n/a17
May ’25US$43.40
US$51.65
+19.0%
14.5%US$65.00US$30.00n/a20
Apr ’25US$47.83
US$51.41
+7.5%
14.8%US$65.00US$30.00n/a20
Mar ’25US$51.06
US$51.16
+0.2%
14.8%US$65.00US$30.00n/a20
Feb ’25US$45.99
US$46.53
+1.2%
18.5%US$63.00US$25.00n/a21
Jan ’25US$45.48
US$40.75
-10.4%
23.2%US$63.00US$25.00n/a20
Dec ’24US$43.36
US$37.00
-14.7%
20.1%US$63.00US$25.00n/a19
Nov ’24US$33.33
US$36.68
+10.1%
19.6%US$63.00US$25.00US$51.6119
Oct ’24US$30.80
US$34.37
+11.6%
21.8%US$63.00US$25.00US$54.9219
Sep ’24US$31.99
US$34.37
+7.4%
21.8%US$63.00US$25.00US$56.6319
Aug ’24US$31.95
US$34.11
+6.8%
22.4%US$63.00US$25.00US$53.0719
Jul ’24US$26.52
US$30.53
+15.1%
28.0%US$63.00US$22.00US$47.0719
Jun ’24US$25.52
US$30.53
+19.6%
28.0%US$63.00US$22.00US$42.6619
May ’24US$23.16
US$30.61
+32.2%
29.0%US$63.00US$22.00US$43.4018
Apr ’24US$25.00
US$30.78
+23.1%
28.7%US$63.00US$22.00US$47.8318
Mar ’24US$27.41
US$31.24
+14.0%
28.3%US$63.00US$24.00US$51.0617
Feb ’24US$26.17
US$28.94
+10.6%
32.4%US$63.00US$20.00US$45.9918
Jan ’24US$23.77
US$28.76
+21.0%
35.7%US$63.00US$20.00US$45.4817
Dec ’23US$22.10
US$28.76
+30.2%
35.7%US$63.00US$20.00US$43.3617
Nov ’23US$17.35
US$30.88
+78.0%
35.0%US$63.00US$20.00US$33.3317

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.


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