Investors Urged to Pursue Varonis Systems, Inc. Securities Class Action with Schall Law Firm

Investors Encouraged to Join Varonis Class Action

On January 19, 2026, the Schall Law Firm, a prominent firm specializing in shareholder rights litigation, has made a significant announcement for investors involved with Varonis Systems, Inc. (NASDAQ: VRNS). The firm is reminding all affected shareholders about an ongoing class action lawsuit against Varonis for potential violations of the Securities Exchange Act of 1934, specifically under sections 10(b) and 20(a) alongside Rule 10b-5. This legal initiative aims to address concerns raised about misleading statements made by the company regarding its performance and service offerings.

Background of the Case

Varonis Systems, a company known for its data security solutions, launched this class action lawsuit focused on the impact of its allegedly false statements made during a specific time period, known as the “Class Period,” which spans from February 4, 2025, to October 28, 2025. Reports suggest that shareholders who acquired Varonis securities during this timeframe are invited to join the lawsuit before the deadline of March 9, 2026. This represents a critical opportunity for these investors to hold Varonis accountable for the purported deceptive practices that have led to significant financial losses.

Allegations Against Varonis

The essence of the complaint revolves around allegations that Varonis made overly optimistic claims regarding its ability to transition existing customers to its Software as a Service (SaaS) offerings. According to the key points outlined in the lawsuit, Varonis was aware of its struggles in convincing customers to switch from their traditional services to the newer SaaS platform. Due to these difficulties, the firm's anticipated Annual Recurring Revenue (ARR) growth was significantly undermined. Consequently, it is argued that the public statements made by Varonis were not only misleading but materially false, leading to investor losses when the true company performance became known.

Legal Representation and Participation

The Schall Law Firm is reaching out to all affected investors, emphasizing that those who suffered financial repercussions are encouraged to reach out and discuss their situation. Investors can communicate with Brian Schall of the Schall Law Firm either via the firm's office in Los Angeles or through their official website for inquiries and further assistance. This opportunity allows investors to understand their legal rights and evaluate options to participate in the claim without any upfront costs.

It's noteworthy to mention that at this stage, the class has yet to be certified, which means individuals do not have legal representation until this certification is granted. However, joining the lawsuit is a proactive step for any investor impacted by Varonis's alleged misconduct.

Conclusion

In conclusion, the Schall Law Firm’s call to action signifies a critical moment for Varonis investors. Those who believed in the company’s projections and subsequently faced financial losses due to its alleged misrepresentation have a chance to seek justice through this class action lawsuit. As the deadline approaches, affected investors are encouraged to act swiftly and explore the possibility of recovering their losses, thereby holding Varonis accountable for its actions during the specified period.

If you are one of the shareholders who purchased Varonis shares within the class period, now is the time to take charge and assess your options for participation in this compelling case.