Talend (TLND) & Varonis Systems (VRNS) Critical Analysis

Talend (NASDAQ: TLND) and Varonis Systems (NASDAQ:VRNS) are both small-cap technology companies, but which is the superior business? We will contrast the two businesses based on the strength of their risk, earnings, analyst recommendations, valuation, profitability, dividends and institutional ownership.

Earnings and Valuation

This table compares Talend and Varonis Systems’ revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Talend $105.98 million 10.75 -$24.24 million ($0.87) -44.93
Varonis Systems $164.46 million 9.18 -$17.71 million ($0.58) -93.53

Varonis Systems has higher revenue and earnings than Talend. Varonis Systems is trading at a lower price-to-earnings ratio than Talend, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a summary of current ratings for Talend and Varonis Systems, as provided by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Talend 0 1 5 0 2.83
Varonis Systems 0 2 8 0 2.80

Talend currently has a consensus price target of $50.20, suggesting a potential upside of 28.42%. Varonis Systems has a consensus price target of $52.60, suggesting a potential downside of 3.04%. Given Talend’s stronger consensus rating and higher possible upside, equities research analysts clearly believe Talend is more favorable than Varonis Systems.

Profitability

This table compares Talend and Varonis Systems’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Talend -18.23% -207.85% -15.66%
Varonis Systems -7.91% -18.97% -8.68%

Institutional and Insider Ownership

45.7% of Talend shares are held by institutional investors. Comparatively, 84.2% of Varonis Systems shares are held by institutional investors. 19.5% of Varonis Systems shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Summary

Varonis Systems beats Talend on 9 of the 13 factors compared between the two stocks.

About Talend

Talend SA is a provider of open source integration solutions for data-oriented companies and integration platform under Apache Spark. The Company’s platform enables users to connect data and applications on-premise or in the cloud, in real time or in batch, Big Data or reference data. Its commercial products are Data Fabric, Big Data Integration, Real-Time Big Data, Data Preparation, Data Integration, Cloud Integration, Data Quality, Application Integration, Master Data Management and metadata Manager. Its free products are Data Preparation and Talend Open Studio, including Open Studio for Big Data, Open Studio for Data Integration, Open Studio for Data Quality, Open Studio for ESB and Open Studio for MDM. Its product, Talend Data Fabric, is a data platform. Talend Data Fabric combines big data, data integration, cloud, reference data management, data preparation and application integration in a single platform with a common development environment and management.

About Varonis Systems

Varonis Systems, Inc. provides a solutions that protect data from insider threats and cyberattacks. The Company’s products include DatAdvantage, DataPrivilege, Interface Data Unit Classification Framework, Data Transport Engine, DatAnywhere and DatAnswers. Its platform allows enterprises to analyze, secure, manage and migrate volumes of unstructured data. It specializes in file and e-mail systems that store valuable spreadsheets, word processing documents, presentations, audio and video files, e-mails and text. Its Metadata Framework is a technology platform that extracts metadata from an enterprise’s information technology (IT) infrastructure. Data often includes an enterprise’s financial information, intellectual property, and confidential employee, customer or patient records. IT and business personnel deploy its software for a range of use cases, including data security, governance and compliance, user behavior analytics, archiving, search, and file synchronization and sharing.

Receive News & Ratings for Talend Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Talend and related companies with MarketBeat.com's FREE daily email newsletter.

Leave a Reply