Investigation of Varonis Systems, Inc.
Kessler Topaz Meltzer & Check, LLP, a prominent U.S. law firm, is currently leading an investigation into Varonis Systems, Inc. (NASDAQ: VRNS) regarding possible violations of federal securities laws. This inquiry follows alarming revelations from Varonis concerning its third quarter financial results for 2025, which yielded disappointing numbers and subsequently had a substantial impact on its stock price.
On October 28, 2025, Varonis reported a troubling performance for the third quarter, indicating significant shortfalls in earnings as compared to analysts' expectations. Most notably, the company faced a staggering 63.9% decline in term license subscription revenues year-over-year. These figures prompted the company to lower its annual recurring revenue (ARR) guidance, acknowledging that its on-prem subscription model adversely affects overall company growth. They substantiated their claims by highlighting that the renewal rates for on-prem subscriptions have declined due to various issues within the sales process.
As a consequence of this distressing update, Varonis’ stock price plummeted drastically, recording a drop of $30.66 per share, translating to a 48.67% decline, ultimately closing the day at $32.34 per share on October 29.
In light of these developments, Kessler Topaz Meltzer & Check urges any investor of Varonis who may have suffered significant losses to reach out to their firm for further inquiries. The law firm, known for its formidable presence in securities litigation, not only represents individual investors but also diverse institutions, including major pension funds and asset management entities. They have a commendable track record of securing some of the largest recoveries in securities-related cases, earning respect within the legal community.
With offices in both Pennsylvania and California, Kessler Topaz operates on a global scale, providing their expertise in the realm of investor protection and securities fraud. Their dedication to representing the interests of aggrieved investors has garnered several prestigious accolades, underscoring their formidable capabilities in this legal niche.
If you feel impacted by these recent developments regarding Varonis, Kessler Topaz encourages you to complete their online form or contact Jonathan Naji, Esq. at (484) 270-1453. Direct inquiries can also be submitted via email at
email protected]. For more comprehensive information about their services and this specific investigation case, you can also visit their official webpage: [Kessler Topaz Website.
This recent investigation serves as a stark reminder of the volatility in the technology sector, particularly for those companies heavily reliant on subscription models. Investors are advised to remain vigilant and informed about the operations and financial health of their investments. The law firm’s proactive stance offers a pathway for potentially affected investors to seek justice and recovery for their losses, reflecting the crucial role that legal representation plays in navigating the complexities of securities law.