Varonis(US:VRNS) TMX Newsfile·2026-01-09 15:25Core Viewpoint - Varonis Systems, Inc. is facing a federal securities class action due to allegations of misleading statements and failure to disclose material facts regarding its business performance, particularly its ability to convert existing customers to its SaaS offering [5][6]. Group 1: Legal Investigation and Class Action - Faruqi & Faruqi, LLP is investigating potential claims against Varonis and reminds investors of the March 9, 2026 deadline to seek the role of lead plaintiff in the class action [2]. - The complaint alleges that Varonis and its executives made false and misleading statements that inflated the stock price, leading to financial losses for investors [5]. - Investors who suffered losses between February 4, 2025, and October 28, 2025, are encouraged to contact the law firm to discuss their legal options [1]. Group 2: Financial Performance and Stock Impact - On October 28, 2025, Varonis reported a significant miss in Annual Recurring Revenue (ARR) and lowered its full-year guidance due to weaker than expected renewals and conversions [6]. - Following the announcement, Varonis' stock price plummeted from $63.00 to $32.34 per share, a decline of approximately 48.67% in one day [7]. - The company also announced the end of life for its self-hosted solution and a 5% reduction in headcount as part of its restructuring efforts [6].