Is Varonis Systems Stock Outperforming Its Rivals?
Varonis Systems’ stock has notably underperformed over the past year, falling 37%, but how does it truly compare against cybersecurity peers amid evolving threats? A closer look reveals moderate 13.17% revenue growth and negative operating margins, yet solid 21.15% free cash flow generation. Its negative valuation (PE Ratio) is common among growth-focused peers, suggesting upside if profitability improves in a competitive market.
- VRNS’s -23.5% operating margin, trailing QLYS (32.5%), reflects heavy SaaS transition investments and cloud infrastructure costs.
- VRNS’s 13.2% revenue growth, outpacing QLYS and OKTA, but lagging CRWD and SAIL, signals varied impact of SaaS shift and market segment focus.
- VRNS’s 36.9% stock decline and -23.3 PE reflect investor concerns on profitability, SaaS transition headwinds, and a Q3 2025 revenue miss.
Here’s how Varonis Systems stacks up across size, valuation, and profitability versus key peers.
| VRNS | SAIL | TENB | QLYS | OKTA | CRWD | |
|---|---|---|---|---|---|---|
| Market Cap ($ Bil) | 3.0 | 8.5 | 2.6 | 3.9 | 15.6 | 102.6 |
| Revenue ($ Bil) | 0.6 | 1.0 | 1.0 | 0.7 | 2.8 | 4.6 |
| PE Ratio | -23.3 | -27.0 | -78.6 | 20.8 | 79.8 | -326.4 |
| LTM Revenue Growth | 13.2% | 23.4% | 11.1% | 10.1% | 12.1% | 22.0% |
| LTM Operating Margin | -23.5% | -29.3% | -0.5% | 32.5% | 4.3% | -8.6% |
| LTM FCF Margin | 21.2% | 0.6% | 25.4% | 41.6% | 31.5% | 24.2% |
| 12M Market Return | -36.9% | -45.6% | -19.5% | -9.1% | -3.2% |
For more details on Varonis Systems, read Buy or Sell VRNS Stock. Below we compare VRNS’s growth, margin, and valuation with peers across years
Revenue Growth Comparison
- Beyond Price Action: Does DG Offer Genuine Diversification?
- Kyndryl Stock: Strong Cash Flow Poised for a Re-Rating?
- S&P Global Stock Pays Out $29 Bil – Investors Take Note
- General Motors Stock Hands $29 Bil Back – Worth a Look?
- Coinbase Global Stock Testing Price Floor – Buy Now?
- Intuit Stock Near Crucial Support – Buy Signal?
| LTM | 2025 | 2024 | 2023 | 2022 | |
|---|---|---|---|---|---|
| VRNS | 13.2% | 13.2% | 10.4% | 5.4% | |
| SAIL | 23.4% | 23.2% | 55.4% | � | |
| TENB | 11.1% | – | 12.7% | 16.9% | 26.3% |
| QLYS | 10.1% | – | 9.6% | 13.2% | 19.1% |
| OKTA | 12.1% | 15.3% | 21.8% | 42.9% | |
| CRWD | 22.0% | 29.4% | 36.3% | 54.4% |
Operating Margin Comparison
| LTM | 2025 | 2024 | 2023 | 2022 | |
|---|---|---|---|---|---|
| VRNS | -23.5% | -23.5% | -21.4% | -23.5% | |
| SAIL | -29.3% | -21.9% | -47.6% | -13.4% | |
| TENB | -0.5% | – | -0.1% | -6.0% | -9.9% |
| QLYS | 32.5% | – | 30.8% | 29.4% | 26.7% |
| OKTA | 4.3% | -2.4% | -20.3% | -42.1% | |
| CRWD | -8.6% | -3.0% | -0.1% | -8.5% |
PE Ratio Comparison
| LTM | 2025 | 2024 | 2023 | 2022 | |
|---|---|---|---|---|---|
| VRNS | -23.3 | -29.0 | -51.8 | -49.0 | |
| SAIL | -27.0 | -35.0 | � | � | |
| TENB | -78.6 | – | -77.0 | -58.1 | -55.6 |
| QLYS | 20.8 | – | 28.2 | 34.1 | 69.9 |
| OKTA | 79.8 | 523.7 | -36.3 | -17.6 | |
| CRWD | -326.4 | -5953.5 | 914.1 | -324.8 |
Still not sure about VRNS stock? Consider portfolio approach.
Reduce Client Risk With Institutional Asset Allocation
The best advisors focus on allocation, not just selection. A proven multi-asset framework helps you optimize client portfolios for both growth and protection.
Client trust is built on consistency. By partnering with our Boston-based wealth management team, advisors gain access to rigorous risk management strategies that look beyond equities. Their approach combines multi-asset diversification with high-conviction equity baskets, such as the Trefis High Quality Portfolio, to smooth out volatility and improve client outcomes.