Varonis(US:VRNS) TMX Newsfile·2026-02-17 23:28Core Viewpoint - Varonis Systems, Inc. is facing a federal securities class action lawsuit due to allegations of misleading statements regarding its business performance and growth potential, particularly in its transition to a SaaS model [4][5]. Group 1: Legal Investigation and Class Action - Faruqi & Faruqi, LLP is investigating potential claims against Varonis and has set a deadline of March 9, 2026, for investors to seek the role of lead plaintiff in the class action [2]. - The lawsuit claims that Varonis and its executives made false statements about the company's ability to convert its customer base to a SaaS offering, which misled investors and inflated stock prices [4]. Group 2: Financial Performance and Stock Impact - On October 28, 2025, Varonis reported disappointing financial results for Q3 2025, missing its Annual Recurring Revenue (ARR) targets and lowering its full-year guidance due to weaker renewals and conversions [5]. - Following the announcement, Varonis' stock price plummeted from $63.00 per share to $32.34 per share on October 29, 2025, marking a decline of approximately 48.67% in just one day [6].