Faruqi & Faruqi Investigates Varonis Securities Fraud Claims
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 4 days ago
0mins
Should l Buy VRNS?
Source: Globenewswire
- Investor Loss Alert: Faruq & Faruq LLP is urging investors who suffered losses exceeding $100,000 in Varonis between February 4, 2025, and October 28, 2025, to contact partner Josh Wilson, indicating potential securities fraud claims that could undermine investor confidence.
- Significant Financial Decline: Varonis reported a substantial miss in annual recurring revenue (ARR) in its Q3 2025 financial results and lowered its full-year guidance, revealing weaknesses in customer renewals and conversions, which may lead to further investor sell-offs.
- Stock Price Volatility: On October 28, 2025, Varonis's stock plummeted from $63.00 per share to $32.34, a dramatic decline of approximately 48.67% in a single day, reflecting market pessimism regarding the company's future prospects and potentially triggering more legal actions.
- Legal Action Deadline Reminder: Faruq & Faruq LLP reminds investors that March 9, 2026, is the deadline to apply to become the lead plaintiff in the federal securities class action, emphasizing the importance of timely action to protect their legal rights.
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Analyst Views on VRNS
Wall Street analysts forecast VRNS stock price to rise
18 Analyst Rating
14 Buy
4 Hold
0 Sell
Strong Buy
Current: 25.700
Low
37.00
Averages
52.18
High
80.00
Current: 25.700
Low
37.00
Averages
52.18
High
80.00
About VRNS
Varonis Systems, Inc. is a data security company. The Company’s cloud-native data security platform discovers and classifies critical data, removes exposures, and detects advanced threats with artificial intelligence (AI)-powered automation. Varonis software enables enterprises of all sizes and industries to protect data stored in the cloud and on-premises, including sensitive files, emails and databases; confidential personal data belonging to customers, patients and employees; financial records; source code, strategic and product plans; and other intellectual property. Its SaaS product portfolio includes two product lines: its flagship Varonis Data Security Platform, which protects Microsoft 365, Windows file shares, Active Directory, Edge devices (VPN, DNS, proxy), UNIX/Linux and hybrid NAS storage, and DatAdvantage Cloud, which protects IaaS environments and SaaS applications, such as Salesforce, AWS, Azure, Google Cloud, Google Workspace, Databricks, ServiceNow, and others.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Varonis Systems Shareholder Notice Issued
- Shareholder Notice Issued: The Gross Law Firm has issued a notice to shareholders of Varonis Systems, Inc. (NASDAQ:VRNS), encouraging those who purchased shares during the class period from February 4, 2025, to October 28, 2025, to contact the firm regarding potential lead plaintiff appointment for recovery participation.
- Significant Financial Decline: Varonis reported a substantial miss in annual recurring revenue (ARR) in its Q3 2025 financial results, leading to a downward revision of its full-year 2025 guidance, primarily due to weaker-than-expected customer renewals and conversions, which has severely impacted investor confidence.
- Stock Price Volatility: Following the announcement on October 28, 2025, Varonis' stock plummeted from $63.00 per share to $32.34 per share the next day, marking a dramatic decline of 48.67% in just one day, indicating extreme pessimism among investors regarding the company's future prospects.
- Layoffs and Product Termination: The company announced a 5% reduction in workforce and the discontinuation of its self-hosted solution, highlighting significant challenges in its transition strategy that could affect long-term business growth and market competitiveness.
See More
Faruqi & Faruqi Investigates Varonis Securities Litigation
- Legal Investigation: Faruq & Faruq LLP is investigating potential claims against Varonis Systems, Inc. due to significant misses in annual recurring revenue (ARR) reported on October 28, 2025, leading to investor losses.
- Stock Price Plunge: On October 28, 2025, Varonis's stock price plummeted from $63.00 to $32.34 per share, representing a dramatic decline of approximately 48.67% in a single day, reflecting severe market concerns about the company's growth potential.
- False Statement Allegations: The lawsuit alleges that Varonis and its executives violated federal securities laws by making overly optimistic statements to investors while failing to disclose critical adverse facts, resulting in investors purchasing shares at artificially inflated prices.
- Investor Rights Protection: Faruq & Faruq LLP reminds investors that March 9, 2026, is the deadline to seek the role of lead plaintiff in the federal securities class action, encouraging affected investors to contact them directly to discuss their legal rights.
See More
Notice of Class Action Lawsuit for Varonis Systems Shareholders
- Shareholder Lawsuit Notice: The Gross Law Firm has issued a notice to shareholders of Varonis Systems, Inc. (NASDAQ: VRNS), encouraging those who purchased shares during the class period from February 4, 2025, to October 28, 2025, to contact the firm regarding potential lead plaintiff appointment for recovery participation.
- False Statement Allegations: The complaint alleges that Varonis provided overly optimistic statements to investors while concealing its inability to effectively convince existing users to transition to its SaaS offerings, resulting in significantly reduced annual recurring revenue (ARR) growth potential.
- Significant Financial Decline: Varonis announced a substantial miss in ARR and lowered its full-year 2025 guidance in its Q3 financial results, attributing this to weaker-than-expected renewals and conversions in its on-premises subscription business, highlighting major challenges in customer retention.
- Stock Price Plummet: Following the announcement on October 28, 2025, where shares closed at $63.00, Varonis' stock price plummeted to $32.34 the next day, marking a dramatic decline of approximately 48.67% in a single day, reflecting strong market concerns about the company's future prospects.
See More
Varonis Systems Class Action Lawsuit Notice
- Class Action Initiation: Robbins Geller Rudman & Dowd LLP announces that investors who purchased Varonis Systems (NASDAQ: VRNS) common stock between February 4, 2025, and October 28, 2025, can seek lead plaintiff status by March 9, 2026, highlighting significant investor concern over the company's financial transparency.
- Allegations Overview: The lawsuit accuses Varonis and its executives of violating the Securities Exchange Act of 1934 by making false statements regarding revenue outlook and growth expectations, potentially leading to long-term reputational damage and stock price declines.
- Performance Decline Impact: On October 28, 2025, Varonis reported third-quarter results that significantly missed projections and lowered full-year guidance, with CEO Yakov Faitelson attributing the shortfall to decreased renewals in both federal and non-federal sectors, resulting in a nearly 49% drop in stock price, indicating vulnerability in market competition.
- Legal Process Explanation: Under the Private Securities Litigation Reform Act of 1995, any investor who purchased Varonis stock during the class period can apply to be the lead plaintiff, who will represent other investors in the lawsuit, demonstrating the legal system's commitment to protecting investor rights.
See More
Multiple Companies Face Class Action Lawsuits
- Class Action Overview: The Law Offices of Frank R. Cruz remind investors that class action lawsuits have been filed against companies including agilon health, Fermi Inc., Varonis Systems, and Ardent Health, with deadlines for lead plaintiff motions approaching.
- agilon health Allegations: From February 26 to August 4, 2025, agilon health is accused of making materially false statements regarding its financial guidance, failing to disclose industry headwinds, which misled investors about the company's prospects, with a lead plaintiff deadline of March 2, 2026.
- Fermi Inc. Lawsuit Details: Fermi Inc. is charged with overstating tenant demand and the reliance on a single tenant's funding for its Project Matador from October 1 to December 11, 2025, with a lead plaintiff deadline of March 6, 2026.
- Varonis and Ardent Issues: Varonis is accused of being ill-equipped to sustain its ARR growth from February 4 to October 28, 2025, while Ardent is charged with failing to accurately assess the collectability of accounts receivable from July 18, 2024, to November 12, 2025, with lead plaintiff deadlines of March 9, 2026, for both companies.
See More
Varonis Systems Investors Class Action Reminder
- Lawsuit Background: Varonis Systems, Inc. reported third-quarter results on October 28, 2025, revealing revenues that missed market expectations, particularly a 63.9% year-over-year decline in annual subscription revenues, which undermined investor confidence.
- Stock Price Plunge: Following the earnings report, Varonis's stock price plummeted by $30.66, or 48.7%, closing at $32.34 per share on October 29, 2025, significantly harming investors' interests.
- Legal Allegations: The class action lawsuit alleges that the company made misleading statements during the class period and failed to disclose its inability to sustain annual recurring revenue growth, leading to investors misjudging the company's prospects.
- Action Notice: Investors must file a motion by March 9, 2026, to request appointment as lead plaintiff in the class action to recover losses incurred from investing in Varonis, highlighting strong concerns regarding corporate governance and transparency.
See More
Varonis Systems Shareholder Notice Issued
- Shareholder Notice Issued: The Gross Law Firm has issued a notice to shareholders of Varonis Systems, Inc. (NASDAQ:VRNS), encouraging those who purchased shares during the class period from February 4, 2025, to October 28, 2025, to contact the firm regarding potential lead plaintiff appointment for recovery participation.
- Significant Financial Decline: Varonis reported a substantial miss in annual recurring revenue (ARR) in its Q3 2025 financial results, leading to a downward revision of its full-year 2025 guidance, primarily due to weaker-than-expected customer renewals and conversions, which has severely impacted investor confidence.
- Stock Price Volatility: Following the announcement on October 28, 2025, Varonis' stock plummeted from $63.00 per share to $32.34 per share the next day, marking a dramatic decline of 48.67% in just one day, indicating extreme pessimism among investors regarding the company's future prospects.
- Layoffs and Product Termination: The company announced a 5% reduction in workforce and the discontinuation of its self-hosted solution, highlighting significant challenges in its transition strategy that could affect long-term business growth and market competitiveness.
See More
Faruqi & Faruqi Investigates Varonis Securities Litigation
- Legal Investigation: Faruq & Faruq LLP is investigating potential claims against Varonis Systems, Inc. due to significant misses in annual recurring revenue (ARR) reported on October 28, 2025, leading to investor losses.
- Stock Price Plunge: On October 28, 2025, Varonis's stock price plummeted from $63.00 to $32.34 per share, representing a dramatic decline of approximately 48.67% in a single day, reflecting severe market concerns about the company's growth potential.
- False Statement Allegations: The lawsuit alleges that Varonis and its executives violated federal securities laws by making overly optimistic statements to investors while failing to disclose critical adverse facts, resulting in investors purchasing shares at artificially inflated prices.
- Investor Rights Protection: Faruq & Faruq LLP reminds investors that March 9, 2026, is the deadline to seek the role of lead plaintiff in the federal securities class action, encouraging affected investors to contact them directly to discuss their legal rights.
See More
Notice of Class Action Lawsuit for Varonis Systems Shareholders
- Shareholder Lawsuit Notice: The Gross Law Firm has issued a notice to shareholders of Varonis Systems, Inc. (NASDAQ: VRNS), encouraging those who purchased shares during the class period from February 4, 2025, to October 28, 2025, to contact the firm regarding potential lead plaintiff appointment for recovery participation.
- False Statement Allegations: The complaint alleges that Varonis provided overly optimistic statements to investors while concealing its inability to effectively convince existing users to transition to its SaaS offerings, resulting in significantly reduced annual recurring revenue (ARR) growth potential.
- Significant Financial Decline: Varonis announced a substantial miss in ARR and lowered its full-year 2025 guidance in its Q3 financial results, attributing this to weaker-than-expected renewals and conversions in its on-premises subscription business, highlighting major challenges in customer retention.
- Stock Price Plummet: Following the announcement on October 28, 2025, where shares closed at $63.00, Varonis' stock price plummeted to $32.34 the next day, marking a dramatic decline of approximately 48.67% in a single day, reflecting strong market concerns about the company's future prospects.
See More
Varonis Systems Class Action Lawsuit Notice
- Class Action Initiation: Robbins Geller Rudman & Dowd LLP announces that investors who purchased Varonis Systems (NASDAQ: VRNS) common stock between February 4, 2025, and October 28, 2025, can seek lead plaintiff status by March 9, 2026, highlighting significant investor concern over the company's financial transparency.
- Allegations Overview: The lawsuit accuses Varonis and its executives of violating the Securities Exchange Act of 1934 by making false statements regarding revenue outlook and growth expectations, potentially leading to long-term reputational damage and stock price declines.
- Performance Decline Impact: On October 28, 2025, Varonis reported third-quarter results that significantly missed projections and lowered full-year guidance, with CEO Yakov Faitelson attributing the shortfall to decreased renewals in both federal and non-federal sectors, resulting in a nearly 49% drop in stock price, indicating vulnerability in market competition.
- Legal Process Explanation: Under the Private Securities Litigation Reform Act of 1995, any investor who purchased Varonis stock during the class period can apply to be the lead plaintiff, who will represent other investors in the lawsuit, demonstrating the legal system's commitment to protecting investor rights.
See More
Multiple Companies Face Class Action Lawsuits
- Class Action Overview: The Law Offices of Frank R. Cruz remind investors that class action lawsuits have been filed against companies including agilon health, Fermi Inc., Varonis Systems, and Ardent Health, with deadlines for lead plaintiff motions approaching.
- agilon health Allegations: From February 26 to August 4, 2025, agilon health is accused of making materially false statements regarding its financial guidance, failing to disclose industry headwinds, which misled investors about the company's prospects, with a lead plaintiff deadline of March 2, 2026.
- Fermi Inc. Lawsuit Details: Fermi Inc. is charged with overstating tenant demand and the reliance on a single tenant's funding for its Project Matador from October 1 to December 11, 2025, with a lead plaintiff deadline of March 6, 2026.
- Varonis and Ardent Issues: Varonis is accused of being ill-equipped to sustain its ARR growth from February 4 to October 28, 2025, while Ardent is charged with failing to accurately assess the collectability of accounts receivable from July 18, 2024, to November 12, 2025, with lead plaintiff deadlines of March 9, 2026, for both companies.
See More
Varonis Systems Investors Class Action Reminder
- Lawsuit Background: Varonis Systems, Inc. reported third-quarter results on October 28, 2025, revealing revenues that missed market expectations, particularly a 63.9% year-over-year decline in annual subscription revenues, which undermined investor confidence.
- Stock Price Plunge: Following the earnings report, Varonis's stock price plummeted by $30.66, or 48.7%, closing at $32.34 per share on October 29, 2025, significantly harming investors' interests.
- Legal Allegations: The class action lawsuit alleges that the company made misleading statements during the class period and failed to disclose its inability to sustain annual recurring revenue growth, leading to investors misjudging the company's prospects.
- Action Notice: Investors must file a motion by March 9, 2026, to request appointment as lead plaintiff in the class action to recover losses incurred from investing in Varonis, highlighting strong concerns regarding corporate governance and transparency.
See More
