With a 5-year EPS growth forecasted at 56.13%, Varonis Systems, Inc. (NASDAQ:VRNS) is among the 12 Best Cybersecurity Stocks to Buy and Hold for the Long Term.
On June 24, Stephens upgraded Varonis Systems, Inc. (NASDAQ:VRNS) to Overweight from Equal Weight and raised its price target to $45 from $33. While the firm noted that recent media reports regarding potential private equity interest further reinforce its view that the shares remain undervalued, the upgrade is primarily driven by the company’s underlying fundamentals. Stephens highlighted strong and growing demand for data security, fueled by accelerating AI adoption, increasing confidence in the durability of SaaS annual recurring revenue growth, expanding platform capabilities, improving sales execution, upside potential to fiscal 2027 guidance, and the opportunity for further valuation multiple expansion.
On May 21, Varonis Systems, Inc. (NASDAQ:VRNS) announced an integration with the Claude Compliance API, extending Claude Enterprise and Claude Platform activity into the Varonis Atlas AI Security Platform. This integration enables organizations using Claude for enterprise knowledge work, application development, and AI agent deployment to gain enhanced visibility into AI activity. By leveraging the Compliance API, Varonis allows security and governance teams to monitor AI usage, investigate misuse across complete user sessions, and evaluate AI-related risks with deeper data context, helping enterprises adopt AI technologies with greater confidence.
Founded in 2005 and headquartered in Miami, Florida, Varonis Systems, Inc. (NASDAQ:VRNS) protects enterprise data from breaches, ransomware, and insider threats. It acts as a cybersecurity stock by offering a data-centric platform that automates the discovery, classification, and protection of sensitive information across cloud and on-premises environments.
Varonis’ continued platform innovation and deeper integration with leading enterprise AI ecosystems, combined with improving SaaS execution, expanding recurring revenue potential, and growing analyst confidence, make it one of the best cybersecurity stocks to buy and hold for the long term.
While we acknowledge the risk and potential of VRNS as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than VRNS and that has 10,000% upside potential, check out our report about this cheapest AI stock.
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