Varonis Stock Analysis, Valuation (NASDAQ:VRNS)
View the Varonis stock analysis video on Amigobulls. This is our analyst opinion covering the buy and sell arguments for VRNS stock.
Note: Amigobulls stock rating is our opinion based on the historical performance of the company's fundamentals. It is not indicative of the future performance of the stock.
Varonis Systems Inc Stock Rating 2.1/5
Amigobulls VRNS stock analysis relies on business fundamentals such as Varonis revenue growth, profits and return on equity measures from the latest quarter 2018 Q2 earnings. Varonis valuation analysis is based on relative valuation multiples like PE ratio and price to sales ratio. Based on a company's historical fundamentals we arrive at Varonis stock rating which is indicative of the company's financial performance.
Should you buy VRNS stock?
- Varonis's revenue growth came in at 32.6% in 2018-03.
- The company has a good Free Cash Flow (FCF) margin of 30.6.
Should you sell VRNS stock?
- Over the last twelve months, Varonis posted an average operating loss margin of -7.83.
- Varonis registered an average TTM Net loss of -7.8%.
- The lack of profits renders the PE ratio useless for VRNS stock.
- The company is trading at a price to sales multiple of 8.1, which is overvalued in comparison to the Computer and Technology sector average multiple of 3.
- Varonis has a negative return on equity of -19.6. This indicates that the firm is inefficient at generating profits.
Varonis Related Company Stock Videos
Amigobulls Varonis stock analysis helps in evaluating the financial statements of a company to arrive at a conclusion about the fair value of VRNS stock. Company's fundamentals remain one of the key driver of VRNS stock and helps investors in making good buy and sell decision.
While doing a study of the company financials, Varonis revenue growth and profit or net income are two main metrics which help in identifying whether VRNS stock is overvalued or undervalued. One can also combine technical analysis and fundamental analysis to get a holistic picture about VRNS stock.