Varonis Systems, Inc.

BIT:1VRNS Stock Report

Market Cap: €3.4b

Varonis Systems Valuation

Is 1VRNS undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • 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 1VRNS when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 1VRNS (€27.81) is trading below our estimate of fair value (€48.46)

Significantly Below Fair Value: 1VRNS is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 1VRNS?

Key metric: As 1VRNS is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for 1VRNS. This is calculated by dividing 1VRNS's market cap by their current revenue.
What is 1VRNS's PS Ratio?
PS Ratio6.5x
SalesUS$608.68m
Market CapUS$3.98b

Price to Sales Ratio vs Peers

How does 1VRNS's PS Ratio compare to its peers?

The above table shows the PS ratio for 1VRNS vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average3.3x
CY4 Cy4gate
2x5.81%€187.7m
REY Reply
1.7x6.71%€4.3b
500408 Tata Elxsi
8.5x9.81%₹313.3b
ACP Asseco Poland
0.8x6.97%zł15.1b
1VRNS Varonis Systems
6.5x13.61%€4.0b

Price-To-Sales vs Peers: 1VRNS is expensive based on its Price-To-Sales Ratio (6.5x) compared to the peer average (3.3x).

Price to Sales Ratio vs Industry

How does 1VRNS's PS Ratio compare vs other companies in the IT Software Industry?

2 CompaniesPrice / SalesEstimated GrowthMarket Cap
S3D Solid World Group
0.3x9.85%US$20.19m
NSP Neosperience
0.3xn/aUS$10.73m
No more companies available in this PS range
1VRNS 6.5xIndustry Avg. 2.4xNo. of Companies4PS01.63.24.86.48+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: 1VRNS is expensive based on its Price-To-Sales Ratio (6.5x) compared to the European Software industry average (2.4x).

Price to Sales Ratio vs Fair Ratio

What is 1VRNS'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.

1VRNS PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio6.5x
Fair PS Ratio11.5x

Price-To-Sales vs Fair Ratio: 1VRNS is good value based on its Price-To-Sales Ratio (6.5x) compared to the estimated Fair Price-To-Sales Ratio (11.5x).

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 1VRNS forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€27.81
€45.66
+64.18%
12.50%€53.79€34.70n/a19
Dec ’26€28.17
€45.66
+62.08%
12.50%€53.79€34.70n/a19
Nov ’26€30.11
€45.66
+51.64%
12.50%€53.79€34.70n/a19
Oct ’26€48.71
€53.80
+10.45%
11.73%€68.22€40.08n/a21
Sep ’26€45.58
€53.48
+17.34%
11.39%€68.90€40.48n/a21
Aug ’26€47.55
€51.73
+8.79%
10.56%€60.45€40.59n/a20
Jul ’26€42.43
€46.13
+8.72%
12.59%€55.52€33.31n/a21
Jun ’26€41.97
€46.63
+11.11%
13.32%€57.35€34.41n/a20
May ’26€37.79
€45.00
+19.09%
13.97%€57.12€34.27n/a20
Apr ’26n/a
€50.23
0%
15.65%€61.93€35.23n/a21
Mar ’26n/a
€52.37
0%
15.41%€64.02€36.42n/a20
Feb ’26n/a
€54.80
0%
17.00%€67.23€35.53n/a20
Jan ’26n/a
€56.25
0%
16.47%€67.52€35.69n/a19
Dec ’25n/a
€55.44
0%
12.97%€64.46€34.07€28.1719
Nov ’25n/a
€55.44
0%
12.97%€64.46€34.07€30.1119
Oct ’25n/a
€51.74
0%
14.81%€60.82€29.96€48.7118
Sep ’25n/a
€51.74
0%
14.81%€60.82€29.96€45.5818
Aug ’25n/a
€52.51
0%
15.21%€61.98€30.53€47.5517
Jul ’25n/a
€48.08
0%
14.95%€60.52€27.93€42.4317
Jun ’25n/a
€47.28
0%
14.99%€59.78€27.59€41.9717
May ’25n/a
€48.48
0%
14.53%€61.02€28.16€37.7920
Apr ’25n/a
€46.97
0%
14.78%€59.38€27.41n/a20
Mar ’25n/a
€47.21
0%
14.77%€59.98€27.68n/a20
Feb ’25n/a
€43.07
0%
18.48%€58.31€23.14n/a21
Jan ’25n/a
€37.33
0%
23.19%€57.71€22.90n/a20
Dec ’24n/a
€34.01
0%
20.05%€57.92€22.98n/a19
€43.32
Fair Value
35.8% undervalued intrinsic discount
19
Number of Analysts

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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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/12/14 14:35
End of Day Share Price 2025/12/12 00:00
Earnings2025/09/30
Annual Earnings2024/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Varonis Systems, Inc. is covered by 35 analysts. 19 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Shrenik KothariBaird
Raimo LenschowBarclays
Saket KaliaBarclays