By Kit Norton
Shares of Varonis Systems advanced Tuesday after a news report said the security software provider was exploring a possible sale amid takeover interest.
Varonis stock gained 11% to $36.40 on Tuesday, putting it on pace for its largest daily percentage gain in nearly two years, after Bloomberg reported the cybersecurity company was exploring strategic options, including a potential sale, after receiving takeover interest.
Varonis has received preliminary interest from private-equity firms Blackstone, Thoma Bravo, and Vista Equity Partners, according to Bloomberg.
Varonis didn't immediately respond to a request for comment from Barron's.
Varonis shares sold off earlier this year as software stocks dropped broadly amid investor fears that artificial intelligence will make some offerings obsolete.
The stock has advanced 9.4% this month and has gained 14% this year. However, shares remain down 25% over the past 12 months and 49% below their record closing high of $73.41 from Sept. 7, 2021, according to Dow Jones Market Data.
Barron's identified Varonis as a possible takeover target in October 2025.
The security software provider has been leaning more into AI tools as well as security measures to catch AI threats. Of the 25 firms polled by FactSet, Varonis stock has an average Overweight rating with a $39.90 price target.
Write to Kit Norton at kit.norton@barrons.com
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June 23, 2026 12:33 ET (16:33 GMT)
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