What To Expect From Varonis Systems’s (VRNS) Q1 Earnings

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Data security company Varonis Systems (NASDAQ: VRNS) will be reporting earnings this Tuesday after the bell. Here’s what investors should know.

Varonis Systems beat analysts’ revenue expectations last quarter, reporting revenues of $173.4 million, up 9.4% year on year. It was a satisfactory quarter for the company, with an impressive beat of analysts’ billings estimates but full-year EPS guidance missing analysts’ expectations significantly.

Is Varonis Systems a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.

This quarter, the market is expecting Varonis Systems’s revenue to grow 21.3% year on year, improving from the 19.6% increase it recorded in the same quarter last year.

Varonis Systems Total Revenue

The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Varonis Systems has missed Wall Street’s revenue estimates multiple times over the last two years.

With Varonis Systems being the first among its peers to report earnings this season, we don’t have anywhere else to look to get a hint at how this quarter will unravel for cybersecurity stocks. However, there has been positive investor sentiment in the segment, with share prices up 6.7% on average over the last month. Varonis Systems is up 17.1% during the same time .

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