#USA #Robbins Geller #San Diego #Class Action #Varonis Systems

Investor Alert for Varonis Systems, Inc.

The prominent law firm Robbins Geller Rudman & Dowd LLP has declared an important update for investors in Varonis Systems, Inc. (NASDAQ: VRNS). Notably, individuals who purchased shares of Varonis common stock between February 4, 2025, and October 28, 2025, have until March 9, 2026, to step forward and possibly serve as lead plaintiff in a class action lawsuit against the company. This legal initiative is based on the allegations of significant financial misrepresentation by Varonis and its executives.

Overview of the Class Action Lawsuit

This class action, titled Molchanov v. Varonis Systems, Inc., filed in the Southern District of New York, suggests that Varonis has violated the Securities Exchange Act of 1934. The firm's reports indicate that Varonis may have misled investors regarding its revenue projections and growth expectations while neglecting to adequately inform about risks from seasonal changes and broader economic fluctuations.

The lawsuit outlines that Varonis made overly optimistic claims about its growth, cost management initiatives, and the efficiency of its sales force, which did not hold true in practice. The complaint asserts that the company failed to maintain its anticipated level of annual recurring revenue, ultimately leading to a drastic decline in stock value.

Financial Performance and Stock Drop

Particularly significant is the company's third-quarter results released on October 28, 2025, which not only fell short of prior expectations but also prompted a downgrading of its full-year revenue forecast. The CEO, Yakov Faitelson, attributed the disappointing figures to a reduction in renewals from both federal clients and non-federal subscription services during critical final weeks of the quarter. Following this revelation, Varonis' stock plummeted nearly 49%, prompting concern among investors.

Role of the Lead Plaintiff

Under the Private Securities Litigation Reform Act of 1995, any investor who bought Varonis common stock during the specified class period is eligible to seek the role of lead plaintiff. This individual is intended to represent all affected shareholders in pursuing the lawsuit and may select a law firm to lead the case. Importantly, individuals can still share in any future financial recovery without serving as lead plaintiff.

About Robbins Geller Rudman & Dowd LLP

Robbins Geller Rudman & Dowd LLP is recognized as a premier law firm specializing in securities fraud and shareholder litigation. The firm boasts a strong track record, having recovered over $2.5 billion for investors in 2024 alone, making it one of the most successful firms in the field. With a team of 200 attorneys across ten offices, Robbins Geller has facilitated some of the largest recoveries in securities class action history, including the landmark $7.2 billion recovery from the Enron litigation.

For further details or to participate in the class action process, affected investors may reach out to attorney J.C. Sanchez via phone at 800-449-4900 or through email at email protected]. More information can also be found at [Robbins Geller's official website.

As this situation continues to unfold, investors are encouraged to stay informed and consider their options regarding potential claims arising from their financial losses associated with Varonis Systems, Inc.