Deadline Alert for Varonis Systems Investors Regarding Securities Class Action Lawsuit

Important Deadline for Varonis Systems Investors

Investors in Varonis Systems, Inc. (NASDAQ: VRNS) should take note of an urgent update regarding a securities class action lawsuit. Faruqi & Faruqi, LLP, a prominent national securities law firm, is currently investigating potential claims against Varonis and reminds investors that the deadline to apply for the role of lead plaintiff in this case is approaching on March 9, 2026.

Background of the Case

The lawsuit centers around allegations that Varonis and its executives made misleading statements regarding the company's ability to maintain and convert its existing customer base to a Software-as-a-Service (SaaS) model. Investors believe that while the company touted growth and transformation, it concealed critical information from shareholders about its operational challenges. Such omissions allegedly resulted in inflated stock prices, causing harm when the real conditions of the business came to light.

On October 28, 2025, Varonis disclosed disappointing financial results for the third quarter of fiscal 2025. The company reported a significant shortfall in its Annual Recurring Revenue (ARR), leading to a downward revision of its projections for the fiscal year. This announcement was particularly shocking as Varonis had previously issued optimistic guidance for two consecutive quarters. The disappointing outcomes were attributed to a slowdown in subscription renewals and conversions, greatly undermining investor confidence.

In the wake of these revelations, Varonis's stock plummeted from $63.00 per share to $32.34 per share in just one day, marking nearly a 49% decline. This drastic fall reflects the impact of the company's performance on investor sentiment and highlights the seriousness of the allegations being put forth in the lawsuit.

How to Participate

Investors who acquired Varonis stocks between February 4, 2025, and October 28, 2025, are encouraged to contact Faruqi & Faruqi directly to discuss their options. Interested parties can consider filing as lead plaintiffs to represent the interests of the class in this legal matter but are not required to take action to receive possible recoveries in the event of a settlement or favorable ruling.

Faruqi & Faruqi emphasizes the importance of transparency and accountability, which is why they encourage not just affected investors, but also former employees, whistleblowers, and anyone with relevant information about Varonis's business practices to come forward.

To learn more about the Varonis Systems class action or if you wish to discuss your situation, visit Faruqi & Faruqi's website or give a call to partner Josh Wilson at 877-247-4292 or 212-983-9330 (Ext. 1310).

This case serves as a critical reminder for investors to remain vigilant and aware of their rights in the face of corporate mismanagement and misleading communications. As the March 9 deadline approaches, affected investors should take action to protect their financial interests.