Tyler Technologies, Inc. (TYL)
For informational purposes only. Not financial advice. Analysis by Sedat ANAK, Founder & Editor-in-Chief | AI-powered analysis. Data sourced from SEC filings and institutional-grade financial providers. Editorially reviewed. Not financial advice.
Tyler Technologies, Inc. (TYL) trades at $318.10 with AI Score 66/100 (Grade B+). Tyler Technologies, Inc. Market cap: $13.41B, Sector: Technology.
Price live · AI analysis from May 10, 2026TYL stock analysis for 2026: Analysts have set a consensus price target of $483.00 for Tyler Technologies, Inc., suggesting 51.8% upside from the current price of $318.10. The AI MoonshotScore is 66/100, indicating a bullish outlook. Key factors: analyst coverage, AI-driven quantitative scoring.
TYL: 1/2 perspectives are bullish.
How is this calculated? →Tyler Technologies, Inc. (TYL) Technology Profile & Competitive Position
Tyler Technologies delivers specialized software solutions and services to the public sector, focusing on integrated information management for government entities. With a strong emphasis on enterprise software, appraisal and tax solutions, and its NIC segment, the company supports government efficiency and citizen services, reflected in its P/E ratio of 43.9 and a market capitalization of $13.41B.
What Is the Investment Thesis for TYL?
Tyler Technologies presents a compelling investment case based on its dominant position in providing essential software and services to the public sector. The company’s focus on government entities provides a stable revenue stream, as these services are often mandated and less susceptible to economic downturns. With a market capitalization of $13.41B and a profit margin of 13.3%, Tyler Technologies demonstrates financial stability and profitability. Growth catalysts include the ongoing modernization of government IT infrastructure and increasing demand for cloud-based solutions. The company's strategic partnership with Amazon Web Services further enhances its ability to deliver scalable and reliable services. However, potential risks include competition from other software providers and the cyclical nature of government spending. Investors should monitor the company's ability to maintain its market share and adapt to evolving technological landscapes. The company's P/E ratio of 43.9 reflects investor expectations of continued growth and profitability.
Based on FMP financials and quantitative analysis
TYL Key Highlights
- Market capitalization of $13.41B, reflecting its strong position in the public sector software market.
- P/E ratio of 43.9, indicating investor confidence in future earnings growth.
- Profit margin of 13.3%, showcasing efficient operations and profitability.
- Gross margin of 45.6%, demonstrating the ability to maintain pricing power and manage costs effectively.
- Strategic collaboration with Amazon Web Services, enhancing its cloud hosting capabilities and scalability.
Who Are TYL's Competitors?
TYL is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.
| Company | Price | Change | Market Cap | AI Score |
|---|---|---|---|---|
| ON ON Semiconductor Corporation | $91.22 | -3.60% | $35.50B | 61 |
| SSNC SS&C Technologies Holdings, Inc. | $65.52 | +2.52% | $15.78B | 59 |
| PTC PTC Inc. | $124.55 | +3.98% | $14.39B | 86 |
| TOST Toast, Inc. | $28.82 | +0.38% | $16.72B | 78 |
| CHKP Check Point Software Technologies Ltd. | $136.58 | +1.71% | $14.24B | 56 |
| NOW ServiceNow, Inc. | $106.32 | +0.49% | $109.65B | 71 |
| RSASF RESAAS Services Inc. | $0.28 | -3.45% | $23.53M | 69 |
| PDFS PDF Solutions, Inc. | $59.18 | -11.51% | $2.44B | 68 |
AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance
What Are TYL's Key Strengths?
- Strong market position in the public sector software market.
- Comprehensive suite of integrated solutions.
- Recurring revenue streams from subscription and maintenance services.
- Established relationships with government agencies.
What Are TYL's Weaknesses?
- Reliance on government spending, which can be cyclical.
- Long sales cycles and complex procurement processes.
- Potential for delays in government IT projects.
- Limited international presence.
What Could Drive TYL Stock Higher?
- Continued modernization of government IT infrastructure, driving demand for Tyler Technologies' solutions.
- Increasing adoption of cloud-based solutions in the public sector, benefiting Tyler Technologies' SaaS offerings.
- Potential new government regulations and policies that require enhanced IT systems, creating opportunities for Tyler Technologies.
- Strategic acquisitions to expand product offerings and geographic reach.
What Are the Key Risks for TYL?
- Cyclical nature of government spending, which can impact Tyler Technologies' revenue.
- Competition from other software providers, which can put pressure on pricing and market share.
- Cybersecurity threats and data breaches, which can damage Tyler Technologies' reputation and financial performance.
- Long sales cycles and complex procurement processes, which can delay revenue recognition.
- Changes in government regulations and policies, which can impact the demand for Tyler Technologies' solutions.
What Are the Growth Opportunities for TYL?
- Expansion of Cloud-Based Solutions: Tyler Technologies can capitalize on the increasing demand for cloud-based solutions in the public sector. By expanding its SaaS offerings and leveraging its partnership with Amazon Web Services, the company can attract new clients and generate recurring revenue streams. The cloud computing market is projected to reach $832.1 billion by 2025, presenting a significant opportunity for Tyler Technologies to grow its market share. Timeline: Ongoing.
- Modernization of Government IT Infrastructure: Government agencies are increasingly focused on modernizing their IT infrastructure to improve efficiency and security. Tyler Technologies is well-positioned to benefit from this trend by offering integrated solutions that address the specific needs of government entities. The government IT modernization market is expected to reach $74.3 billion by 2027, providing a substantial growth opportunity for Tyler Technologies. Timeline: Ongoing.
- Cross-Selling Opportunities: Tyler Technologies can leverage its existing client base to cross-sell additional products and services. By offering a comprehensive suite of solutions, the company can increase its revenue per client and strengthen its relationships with government agencies. This strategy can drive organic growth and improve customer retention rates. Timeline: Ongoing.
- Strategic Acquisitions: Tyler Technologies can pursue strategic acquisitions to expand its product offerings and geographic reach. By acquiring complementary businesses, the company can enhance its competitive position and accelerate its growth. The mergers and acquisitions market in the software industry remains active, providing opportunities for Tyler Technologies to acquire innovative technologies and talent. Timeline: Ongoing.
- Penetration of New Markets: Tyler Technologies can expand its presence in new geographic markets, both domestically and internationally. By targeting underserved regions and adapting its solutions to meet local requirements, the company can tap into new revenue streams and diversify its business. The global government software market is expected to grow significantly in the coming years, presenting opportunities for Tyler Technologies to expand its international footprint. Timeline: Ongoing.
What Opportunities Does TYL Have?
- Expansion of cloud-based solutions.
- Modernization of government IT infrastructure.
- Cross-selling opportunities within existing client base.
- Strategic acquisitions to expand product offerings.
What Threats Does TYL Face?
- Competition from other software providers.
- Evolving technological landscape.
- Changes in government regulations and policies.
- Cybersecurity threats and data breaches.
What Are TYL's Competitive Advantages?
- Specialized Expertise: Deep understanding of the specific needs and requirements of the public sector.
- Integrated Solutions: Comprehensive suite of integrated solutions that address a wide range of government functions.
- High Switching Costs: Significant investment of time and resources required to switch to a competing vendor.
- Long-Term Relationships: Established relationships with government agencies built over many years.
- Regulatory Compliance: Solutions designed to meet the specific regulatory requirements of the public sector.
What Does TYL Do?
Founded in 1966 and headquartered in Plano, Texas, Tyler Technologies, Inc. has evolved into a leading provider of integrated information management solutions and services exclusively for the public sector. The company operates through three primary segments: Enterprise Software, Appraisal and Tax, and NIC. The Enterprise Software segment offers a broad range of solutions, including financial management systems, utility billing systems, and products that automate various city and county functions, such as municipal courts, parking tickets, and licensing. These solutions are designed to enhance operational efficiency and improve citizen services for government agencies and not-for-profit entities. The Appraisal and Tax segment provides systems and software for the appraisal and assessment of real and personal property, as well as tax applications for billing and collection. This segment supports taxing jurisdictions in streamlining their property appraisal processes and ensuring accurate tax collection. The NIC segment focuses on providing digital government solutions and services, including online portals and payment processing, to enhance citizen engagement and government transparency. Tyler Technologies also offers software as a service (SaaS) arrangements, electronic document filing solutions, and a range of support services, including installation, data conversion, and training. The company's strategic collaboration with Amazon Web Services for cloud hosting services underscores its commitment to leveraging cutting-edge technology to deliver scalable and reliable solutions to its clients. With over 7,462 employees, Tyler Technologies continues to expand its footprint in the public sector, driven by its focus on innovation and customer satisfaction.
What Products and Services Does TYL Offer?
- Provides financial management solutions for government agencies and non-profits.
- Offers utility billing systems for metered and non-metered services.
- Automates city and county functions like municipal courts and licensing.
- Delivers student information and transportation solutions for K-12 schools.
- Provides court case management and public safety software solutions.
- Offers systems for property appraisal and tax collection.
- Provides planning, regulatory, and maintenance software for public sector agencies.
- Offers data and insights solutions.
How Does TYL Make Money?
- Software Licensing: Generates revenue through the licensing of its software products to government agencies and other public sector entities.
- Subscription Services: Offers software as a service (SaaS) arrangements, providing recurring revenue streams through subscription fees.
- Professional Services: Provides installation, data conversion, training, and product modification services, generating revenue through project-based fees.
- Maintenance and Support: Offers ongoing maintenance and support services to its clients, generating recurring revenue through service contracts.
What Industry Does TYL Operate In?
Tyler Technologies operates within the application software industry, which is experiencing significant growth driven by the increasing demand for digital solutions across various sectors. The public sector, in particular, is undergoing a digital transformation, with government agencies seeking to modernize their IT infrastructure and improve citizen services. This trend is fueling demand for Tyler Technologies' integrated information management solutions. The competitive landscape includes companies like SS&C Technologies Holdings, Inc. and PTC Inc., but Tyler Technologies distinguishes itself through its exclusive focus on the public sector and its comprehensive suite of solutions tailored to the specific needs of government entities. The industry is characterized by long sales cycles and high switching costs, providing a degree of stickiness for established players like Tyler Technologies.
Who Are TYL's Key Customers?
- Local Government Agencies: Cities, counties, and municipalities.
- State Government Agencies: State-level departments and agencies.
- Federal Government Agencies: Federal departments and agencies.
- K-12 Schools: School districts and individual schools.
- Courts and Law Enforcement Agencies: Judicial systems and law enforcement organizations.
Tyler Technologies, Inc. Financial Trajectory
Tyler Technologies, Inc. (TYL) reported $613.5M in revenue for Q1 2026, reflecting 6.7% growth compared to the prior quarter. The company recorded net income of $81.2M, with diluted EPS of $1.88. Quarter-over-quarter revenue has been mixed, typical for a large-cap company operating in Technology. Across the four most recent quarters, TYL averaged $1.81 in diluted EPS.
Company Profile
Tyler Technologies, Inc. operates in the Software - Application industry within the Technology sector. It is headquartered in Plano, US. The company is led by CEO H. Lynn Moore Jr.. TYL has traded publicly since 1980.
How Tyler Technologies, Inc. Is Valued
Tyler Technologies, Inc. carries a market capitalization of $13.41B, placing it in the large-cap category. Relative to its peer group, TYL's quantitative score of 66/100 is roughly in line with the peer average of 68/100.
ROE 9%Key Financial Metrics
Return on equity for Tyler Technologies, Inc. stands at 8.7%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is 6.6%, showing how much profit it generates from its asset base. TYL trades at a trailing price-to-earnings ratio of 43.92, above the Technology sector average of ~38x. Its free cash flow yield is 5.4%, a gauge of the cash the business throws off relative to its market value. A current ratio of 1.00 indicates the company holds enough short-term assets to cover its near-term obligations. Its earnings yield is 2.4%, the inverse of the P/E and a quick read on earnings relative to price.
F-Score 7/9Financial Health
Tyler Technologies, Inc.'s Piotroski F-Score is 7/9, a 9-point checklist of profitability, leverage and efficiency — signaling solid underlying fundamentals. Its Altman Z-Score of 7.91 places it in the safe zone, indicating low near-term bankruptcy risk.
6/8 beatsEarnings Track Record
Tyler Technologies, Inc. has beaten Wall Street's EPS estimate in 6 of its last 8 reported quarters — a consistent record of delivering on expectations. Reported results have landed about 3.0% above estimates on average.
FY2026 estForward Outlook
Wall Street analysts project Tyler Technologies, Inc. revenue of about $2.56B for fiscal 2026, with EPS near $12.89. The estimate reflects 17 contributing analysts.
Net buyingInsider Activity
Over the past six months, Tyler Technologies, Inc. insiders filed 12 SEC Form 4 transactions — 4 sales and 8 purchases. On net that is roughly 3K shares acquired (about $0) — insiders putting money in tends to read as conviction.
TYL Financials
Fundamental Snapshot
Based on FMP financials and quantitative analysis · FY 2025
Bull Case vs Bear Case
Bull Case
- Recent insider buying suggests confidence in the company's future, indicating that those closest to the business believe in its growth potential.
- Community sentiment has shifted positively, with discussions highlighting Tyler's strong position in the public sector software market.
- Recent contract wins and expansions in service offerings have bolstered optimism about revenue growth and market share.
- The company's focus on innovation and technology upgrades has resonated well with stakeholders, enhancing its reputation as a leader in its field.
Bear Case
- Concerns over potential slowing demand from government clients have emerged, leading to cautious sentiment among some investors.
- Recent discussions in the community reflect worries about competition intensifying in the software sector, potentially impacting Tyler's market position.
- Some analysts point to macroeconomic uncertainties that could affect government budgets and spending on technology solutions.
- Recent earnings reports have shown mixed signals, prompting skepticism about the sustainability of growth in the near term.
AI-generated arguments based on insider flow, news sentiment and technicals — not financial advice · April 2026
From the Earnings Call
“Yes, Rob, I'd actually say we're looking for 3 products -- average of 3 to go to 10 to 12, not 7 to 8, but I'm not going to quibble.”
— H. Moore
“FTR adds somewhere in the neighborhood of $30 million of revenues to the full year and a modest amount to EPS.”
— Brian Miller
TYL Q1 FY2026 earnings call transcript · 2026-04-30
Recent Quarterly Results
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $614M | $81M | $1.88 |
| Q4 2025 | $575M | $66M | $1.50 |
| Q3 2025 | $596M | $84M | $1.93 |
| Q2 2025 | $596M | $85M | $1.93 |
Based on FMP financials and quantitative analysis
TYL Latest News
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Shares of software companies are trading lower amid valuation concerns after the sector's steep May rally. Also, questions may persist about the ability of legacy software firms to profitably integrate AI platforms.
Benzinga · Jun 3, 2026
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Shares of software companies are down as the sector sells off from its recent strength. Software may be falling in response to Alphabet's announcement that it is raising $80 billion to fund its AI plans, renewing AI-related concerns that weigh down the industry.
Benzinga · Jun 2, 2026
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Shares of software companies are trading higher following Nvidia's introduction of AI tools for industries including autonomous driving, humanoid robots and AI factories that may be seen as a tailwind for the broader sector.
Benzinga · Jun 1, 2026
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Stocks Supported by Strong Earnings and AI Optimism
Barchart · May 11, 2026
TYL Analyst Consensus
Consensus Rating
Aggregated Buy/Hold/Sell recommendations from Benzinga, Yahoo Finance, and Finnhub for TYL.
Price Targets
Consensus target: $483.00
TYL MoonshotScore
What does this score mean?
The MoonshotScore rates TYL's growth potential on a scale of 0-100 across multiple factors including innovation, market disruption, financial health, and momentum.
Latest News
Shares of software companies are trading lower amid valuation concerns after the sector's steep May rally. Also, questions may persist about the ability of legacy software firms to profitably integrate AI platforms.
Shares of software companies are down as the sector sells off from its recent strength. Software may be falling in response to Alphabet's announcement that it is raising $80 billion to fund its AI plans, renewing AI-related concerns that weigh down the industry.
Shares of software companies are trading higher following Nvidia's introduction of AI tools for industries including autonomous driving, humanoid robots and AI factories that may be seen as a tailwind for the broader sector.
Stocks Supported by Strong Earnings and AI Optimism
Leadership: H. Lynn Moore Jr.
Chief Executive Officer
H. Lynn Moore Jr. has served as the Chief Executive Officer of Tyler Technologies, Inc. He has been with the company for several years, holding various leadership positions before assuming the role of CEO. Moore has extensive experience in the software and technology industry, with a focus on serving the public sector. His background includes expertise in strategic planning, business development, and operational management. He is responsible for overseeing the company's overall strategy and performance, ensuring that Tyler Technologies continues to deliver innovative solutions to its clients.
Track Record: Under H. Lynn Moore Jr.'s leadership, Tyler Technologies has experienced significant growth and expansion. He has overseen the successful integration of several acquisitions, strengthening the company's product offerings and market position. Moore has also been instrumental in driving the company's focus on cloud-based solutions and enhancing its customer service capabilities. During his tenure, Tyler Technologies has consistently achieved strong financial results and maintained its leadership in the public sector software market.
Tyler Technologies, Inc. Technology Stock: Key Questions Answered
What does Tyler Technologies, Inc. do?
Tyler Technologies, Inc. specializes in providing integrated information management solutions and services exclusively for the public sector. The company's offerings include software and services for local, state, and federal government entities, covering areas such as financial management, utility billing, court case management, and property appraisal. Tyler Technologies' solutions are designed to enhance operational efficiency, improve citizen services, and ensure regulatory compliance for government agencies. The company operates through three segments: Enterprise Software, Appraisal and Tax, and NIC, each catering to specific needs within the public sector.
What do analysts say about TYL stock?
Analyst consensus on Tyler Technologies (TYL) stock reflects a generally positive outlook, driven by the company's strong position in the public sector software market and its consistent financial performance. Key valuation metrics, such as the P/E ratio of 43.9, suggest that investors have high expectations for future earnings growth. Growth considerations include the ongoing modernization of government IT infrastructure and the increasing adoption of cloud-based solutions. However, analysts also note potential risks, such as the cyclical nature of government spending and competition from other software providers. Overall, the analyst community views Tyler Technologies as a well-managed company with a solid track record and promising growth prospects, but investors should carefully consider the potential risks and uncertainties.
What are the main risks for TYL?
Tyler Technologies faces several key risks that could impact its financial performance and market position. One significant risk is the cyclical nature of government spending, as budget constraints and economic downturns can lead to delays or cancellations of government IT projects. Competition from other software providers also poses a risk, as new entrants and established players may offer alternative solutions or undercut Tyler Technologies' pricing. Cybersecurity threats and data breaches are another major concern, as a successful attack could damage the company's reputation and result in financial losses. Additionally, changes in government regulations and policies could impact the demand for Tyler Technologies' solutions or require costly modifications to its products. Investors should carefully monitor these risks and assess their potential impact on Tyler Technologies' future performance.
What are the key factors to evaluate for TYL?
Tyler Technologies, Inc. (TYL) holds an AI score of 66/100 (moderate). P/E: 43.9x vs the S&P 500's ~20-25x. Analysts target $483.00 (+52%). Not financial advice.
How frequently does TYL data refresh on this page?
TYL prices update in real time during U.S. market hours. Fundamentals refresh after quarterly filings; analyst ratings and AI insights update daily; news is aggregated continuously.
What has driven TYL's recent stock price performance?
Tyler Technologies, Inc. (TYL) moves on earnings results, analyst revisions, sector rotation, and market sentiment. Notable catalyst: Strong market position in the public sector software market. See the News tab for the latest drivers. Past performance does not predict future results.
Should investors consider TYL overvalued or undervalued right now?
Tyler Technologies, Inc. (TYL) trades at 43.9x earnings. Analysts target $483.00 (+52%) — upside seen. Compare P/E, P/S, and EV/EBITDA against sector peers for a full view.
What research should beginners do before buying TYL?
Before investing in Tyler Technologies, Inc. (TYL), research these four areas: (1) the company's revenue model and competitive position (see Company Overview), (2) financial health through revenue growth, margins, and cash flow (see MoonshotScore), (3) what Wall Street analysts recommend and their price targets (see Analyst tab), and (4) specific risk factors that could impact the stock (see Risk Factors section).
Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.
Official Resources
Data provided for informational purposes only.
- Information is based on available data and may be subject to change.
- Financial metrics are as of the latest available reporting period.