Varonis(US:VRNS) Prnewswireยท2025-11-20 15:00Core Insights - Varonis Systems, Inc. is under investigation for potential securities fraud and unlawful business practices following disappointing financial results [1][2] Financial Performance - On October 28, 2025, Varonis reported third-quarter financial results that missed consensus estimates, including a significant 63.9% year-over-year decline in term license subscription revenues [2] - The company reduced its full-year Annual Recurring Revenue (ARR) guidance due to underperformance in its on-premises subscription business [2] - CEO Yakov Faitelson indicated that the on-premises subscription business is negatively impacting overall company ARR growth, citing lower renewal rates and sales process issues as contributing factors [2] Stock Market Reaction - Following the announcement of the financial results, Varonis's stock price dropped by $30.66 per share, or 48.67%, closing at $32.34 per share on October 29, 2025 [2]