Varonis shares fall; Morgan Stanley cuts to 'equal-weight' from 'overweight'

Varonis Systems

26/01/2026 13:23

**  Shares of data security service provider Varonis Systems VRNS.O edge 2.2% lower to $34.20 premarket

** Morgan Stanley downgrades the stock rating to "equal-weight" from "overweight"; cuts PT to $41 from $44 - an upside of 17.3% from stock's last close

** The brokerage cite a "more fierce" competitive environment, particularly from Microsoft Purview and multiple startups in the data security field

** "We are moving to the sidelines on VRNS as we see more limited durable catalysts in the near term and need to see more traction with selling a broader portfolio.." - Morgan Stanley

** 17 of 21 brokerages rate the stock "buy" or higher, four "hold"; their median PT is $48.21 - LSEG data

** Stock had fallen about 26% in 2025

 (Reporting by Ragini Mathur in Bengaluru)

 ((Ragini.Mathur@thomsonreuters.com;))