Piper Sandler upgrades Varonis to Overweight, raises target to $47

As previously reported, Piper Sandler upgraded Varonis (VRNS) to Overweight from Neutral with a price target of $47, up from $45. The firm notes shares meaningfully disappointed coming out of Q3. With numbers effectively reset and an exclusive focus on the SaaS segment of the business – which has remained relatively healthy – Piper thinks shares set up as a compelling long from current levels. The firm believes organizations will continue to piecemeal together data security solutions to address concerns, and the company’s stronghold across legacy data stores as well as the more recent modernization of its capabilities should enable Varonis to see continued momentum in both new customer growth as well as migration of the installed base to SaaS – rendering numbers conservative for the coming year.