Varonis Faces Class Action Lawsuit as Stock Plummets 48%
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1 hour ago
0mins
Should l Buy VRNS?
Source: Globenewswire
- Class Action Filed: Berger Montague has initiated a class action lawsuit against Varonis Systems on behalf of investors who acquired securities between February 4, 2025, and October 28, 2025, alleging that executives misled investors regarding the company's customer conversion capabilities.
- Stock Price Collapse: Following revelations that Varonis struggled to convince existing users to transition to its SaaS offerings, the stock plummeted from $63.00 on October 28, 2025, to $32.34 the next day, marking a dramatic decline of over 48%, or $30.66 per share, which raises significant concerns about the company's near-term revenue growth potential.
- Investor Rights Notification: Investors must seek to be appointed as lead plaintiff representatives by March 9, 2026, highlighting the legal action's potential impact on the company's reputation and shareholder confidence.
- Law Firm Credentials: Berger Montague specializes in complex civil litigation and class actions, having recovered over $50 billion for clients over 55 years, underscoring its formidable presence and influence in the legal landscape.
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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: 25.360
Low
37.00
Averages
52.18
High
80.00
Current: 25.360
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 Faces Class Action Lawsuit as Stock Plummets 48%
- Class Action Filed: Berger Montague has initiated a class action lawsuit against Varonis Systems on behalf of investors who acquired securities between February 4, 2025, and October 28, 2025, alleging that executives misled investors regarding the company's customer conversion capabilities.
- Stock Price Collapse: Following revelations that Varonis struggled to convince existing users to transition to its SaaS offerings, the stock plummeted from $63.00 on October 28, 2025, to $32.34 the next day, marking a dramatic decline of over 48%, or $30.66 per share, which raises significant concerns about the company's near-term revenue growth potential.
- Investor Rights Notification: Investors must seek to be appointed as lead plaintiff representatives by March 9, 2026, highlighting the legal action's potential impact on the company's reputation and shareholder confidence.
- Law Firm Credentials: Berger Montague specializes in complex civil litigation and class actions, having recovered over $50 billion for clients over 55 years, underscoring its formidable presence and influence in the legal landscape.
See More
Varonis Systems Faces Class Action Lawsuit Over Investment Losses
- Class Action Initiated: Kessler Topaz Meltzer & Check, LLP has filed a class action lawsuit against Varonis Systems, Inc. on behalf of investors who purchased stock between February 4, 2025, and October 28, 2025, indicating significant legal risks that could impact the company's stock performance.
- Allegations of Misrepresentation: The lawsuit alleges that Varonis failed to disclose its ability to sustain its annual recurring revenue (ARR) growth, leading to investor misconceptions about the company's prospects, which may exacerbate investor losses.
- Lead Plaintiff Deadline: Investors must apply to be appointed as lead plaintiffs by March 9, 2026, highlighting the urgency of the lawsuit and potentially influencing investor participation decisions.
- Law Firm Background: Kessler Topaz Meltzer & Check, LLP is a prominent law firm specializing in securities fraud class actions, representing both individual and institutional investors, underscoring the potential impact and significance of this case.
See More
Reminder of Class Action for Varonis Systems Investors
- Class Action Notice: Rosen Law Firm reminds investors who purchased Varonis Systems (NASDAQ: VRNS) common stock between February 4, 2025, and October 28, 2025, to apply to be lead plaintiff by March 9, 2026, to potentially receive compensation without any out-of-pocket costs.
- Lawsuit Background: The lawsuit alleges that Varonis failed to maintain annual recurring revenue (ARR) projections and could not effectively persuade existing customers to transition to its software-as-a-service (SaaS) offering, resulting in significant risk of losses for investors and highlighting potential operational issues within the company.
- Law Firm's Strength: Rosen Law Firm specializes in securities class actions, having recovered over $438 million for investors in 2019 alone, and was ranked No. 1 by ISS Securities Class Action Services in 2017, demonstrating its strong capabilities and successful track record in this field.
- Investor Advice: Investors are advised to carefully select law firms with proven success in leadership roles, avoiding those that merely act as intermediaries, to ensure they receive the best legal support and potential compensation in the class action.
See More
Faruqi & Faruqi Investigates Varonis Securities Fraud Claims
- 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.
See More
Varonis Systems Faces Class Action Lawsuit
- Lawsuit Announcement: Robbins Geller Rudman & Dowd LLP has announced that purchasers of Varonis Systems, Inc. (NASDAQ:VRNS) common stock between February 4, 2025, and October 28, 2025, have until March 9, 2026, to seek lead plaintiff status in the class action lawsuit titled Molchanov v. Varonis Systems, Inc.
- Allegations Overview: The lawsuit alleges that Varonis and its executives violated the Securities Exchange Act of 1934 by creating a false impression of reliable revenue projections while downplaying risks from seasonality and macroeconomic factors, resulting in significant investor losses.
- Performance Decline: On October 28, 2025, Varonis reported third-quarter results that fell significantly short of expectations and lowered its full-year guidance, with CEO Yakov Faitelson attributing the shortfall to decreased renewals in both Federal and non-Federal sectors, leading to a nearly 49% drop in stock price.
- Lead Plaintiff Process: Under the Private Securities Litigation Reform Act of 1995, any investor who purchased Varonis stock during the class period can seek lead plaintiff status, representing the interests of other investors and selecting a law firm to litigate the case.
See More
Reminder for Varonis Systems Stock Class Action
- Class Action Notice: Rosen Law Firm reminds investors who purchased Varonis Systems (NASDAQ:VRNS) common stock between February 4, 2025, and October 28, 2025, to apply as lead plaintiffs by March 9, 2026, to potentially receive compensation without any out-of-pocket costs.
- Lawsuit Background: The lawsuit alleges that Varonis failed to maintain annual recurring revenue (ARR) projections and could not effectively convince existing customers to transition to the software-as-a-service (SaaS) model, resulting in significantly reduced ARR growth potential and investor losses.
- Law Firm Credentials: Rosen Law Firm specializes in securities class actions and has achieved the largest securities class action settlement against a Chinese company, recovering over $438 million for investors in 2019 alone, showcasing its strong track record and expertise in this field.
- Participation Instructions: Investors can visit the Rosen Law Firm website or call the toll-free number for more information, emphasizing the importance of selecting qualified legal counsel, especially since the class has not yet been certified, leaving investors to choose their representation wisely.
See More
Varonis Faces Class Action Lawsuit as Stock Plummets 48%
- Class Action Filed: Berger Montague has initiated a class action lawsuit against Varonis Systems on behalf of investors who acquired securities between February 4, 2025, and October 28, 2025, alleging that executives misled investors regarding the company's customer conversion capabilities.
- Stock Price Collapse: Following revelations that Varonis struggled to convince existing users to transition to its SaaS offerings, the stock plummeted from $63.00 on October 28, 2025, to $32.34 the next day, marking a dramatic decline of over 48%, or $30.66 per share, which raises significant concerns about the company's near-term revenue growth potential.
- Investor Rights Notification: Investors must seek to be appointed as lead plaintiff representatives by March 9, 2026, highlighting the legal action's potential impact on the company's reputation and shareholder confidence.
- Law Firm Credentials: Berger Montague specializes in complex civil litigation and class actions, having recovered over $50 billion for clients over 55 years, underscoring its formidable presence and influence in the legal landscape.
See More
Varonis Systems Faces Class Action Lawsuit Over Investment Losses
- Class Action Initiated: Kessler Topaz Meltzer & Check, LLP has filed a class action lawsuit against Varonis Systems, Inc. on behalf of investors who purchased stock between February 4, 2025, and October 28, 2025, indicating significant legal risks that could impact the company's stock performance.
- Allegations of Misrepresentation: The lawsuit alleges that Varonis failed to disclose its ability to sustain its annual recurring revenue (ARR) growth, leading to investor misconceptions about the company's prospects, which may exacerbate investor losses.
- Lead Plaintiff Deadline: Investors must apply to be appointed as lead plaintiffs by March 9, 2026, highlighting the urgency of the lawsuit and potentially influencing investor participation decisions.
- Law Firm Background: Kessler Topaz Meltzer & Check, LLP is a prominent law firm specializing in securities fraud class actions, representing both individual and institutional investors, underscoring the potential impact and significance of this case.
See More
Reminder of Class Action for Varonis Systems Investors
- Class Action Notice: Rosen Law Firm reminds investors who purchased Varonis Systems (NASDAQ: VRNS) common stock between February 4, 2025, and October 28, 2025, to apply to be lead plaintiff by March 9, 2026, to potentially receive compensation without any out-of-pocket costs.
- Lawsuit Background: The lawsuit alleges that Varonis failed to maintain annual recurring revenue (ARR) projections and could not effectively persuade existing customers to transition to its software-as-a-service (SaaS) offering, resulting in significant risk of losses for investors and highlighting potential operational issues within the company.
- Law Firm's Strength: Rosen Law Firm specializes in securities class actions, having recovered over $438 million for investors in 2019 alone, and was ranked No. 1 by ISS Securities Class Action Services in 2017, demonstrating its strong capabilities and successful track record in this field.
- Investor Advice: Investors are advised to carefully select law firms with proven success in leadership roles, avoiding those that merely act as intermediaries, to ensure they receive the best legal support and potential compensation in the class action.
See More
Faruqi & Faruqi Investigates Varonis Securities Fraud Claims
- 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.
See More
Varonis Systems Faces Class Action Lawsuit
- Lawsuit Announcement: Robbins Geller Rudman & Dowd LLP has announced that purchasers of Varonis Systems, Inc. (NASDAQ:VRNS) common stock between February 4, 2025, and October 28, 2025, have until March 9, 2026, to seek lead plaintiff status in the class action lawsuit titled Molchanov v. Varonis Systems, Inc.
- Allegations Overview: The lawsuit alleges that Varonis and its executives violated the Securities Exchange Act of 1934 by creating a false impression of reliable revenue projections while downplaying risks from seasonality and macroeconomic factors, resulting in significant investor losses.
- Performance Decline: On October 28, 2025, Varonis reported third-quarter results that fell significantly short of expectations and lowered its full-year guidance, with CEO Yakov Faitelson attributing the shortfall to decreased renewals in both Federal and non-Federal sectors, leading to a nearly 49% drop in stock price.
- Lead Plaintiff Process: Under the Private Securities Litigation Reform Act of 1995, any investor who purchased Varonis stock during the class period can seek lead plaintiff status, representing the interests of other investors and selecting a law firm to litigate the case.
See More
Reminder for Varonis Systems Stock Class Action
- Class Action Notice: Rosen Law Firm reminds investors who purchased Varonis Systems (NASDAQ:VRNS) common stock between February 4, 2025, and October 28, 2025, to apply as lead plaintiffs by March 9, 2026, to potentially receive compensation without any out-of-pocket costs.
- Lawsuit Background: The lawsuit alleges that Varonis failed to maintain annual recurring revenue (ARR) projections and could not effectively convince existing customers to transition to the software-as-a-service (SaaS) model, resulting in significantly reduced ARR growth potential and investor losses.
- Law Firm Credentials: Rosen Law Firm specializes in securities class actions and has achieved the largest securities class action settlement against a Chinese company, recovering over $438 million for investors in 2019 alone, showcasing its strong track record and expertise in this field.
- Participation Instructions: Investors can visit the Rosen Law Firm website or call the toll-free number for more information, emphasizing the importance of selecting qualified legal counsel, especially since the class has not yet been certified, leaving investors to choose their representation wisely.
See More
