Stock Track | Varonis Soars 5.58% After-Hours on Q4 Beat and Early SaaS Transition Completion

Stock Track
Feb 05

Varonis Systems (VRNS) experienced a significant after-hours surge of 5.58% on Wednesday, following a volatile trading session that saw the stock pressured by mixed guidance.

The data security software company reported better-than-expected fourth-quarter results, with earnings of 8 cents per share beating estimates of 3 cents and revenue of $173.369 million surpassing expectations of $168.528 million. However, the stock had faced selling pressure earlier in the day after the company issued fiscal 2026 earnings guidance that trailed market projections.

The after-hours rebound appears driven by positive long-term developments highlighted in analyst reports, particularly Varonis completing its transition to a Software-as-a-Service (SaaS) model a full year earlier than anticipated. This milestone positions the company for stronger performance in 2027 and beyond, according to analysts who maintained positive ratings despite near-term headwinds. CEO Yaki Faitelson expressed confidence in achieving the company's 2027 financial targets as it becomes a fully SaaS-based business.

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