Tyler Technologies, Inc. (TYL) AI Stock Analysis

Tyler Technologies, Inc. specializes in providing information management solutions tailored for the public sector. Operating through three segments—Enterprise Software, Appraisal and Tax, and NIC—the company offers products to enhance efficiency for government agencies and educational institutions. Its Enterprise Software segment includes financial management systems, utility billing solutions, municipal automation, student information systems, and K-12 transportation tools. Tyler Technologies also provides court case management, public safety software, appraisal and tax assessment tools, electronic document filing, and regulatory compliance solutions. Founded in 1966 and headquartered in Plano, Texas, the company delivers software as a service arrangements, hardware installation, data conversion, and ongoing support.

Annual revenue expanded from $1.59B in FY2021 to $2.33B in FY2025, achieving a 5-year revenue CAGR of 15.9%. Annual revenue grew 9.1% in FY2025 following 9.5% growth in FY2024. Operating margin improved from 12.9% in FY2021 to 15.3% in FY2025, while gross margin rose to 44.0%. Net income climbed from $161.5M in FY2021 to $315.6M in FY2025, lifting EPS from $7.02 to $11.30. Over the trailing twelve months, revenue was $2.43B with an operating margin of 14.7% and a profit margin of 13.4%. In the latest quarter ending June 30, 2026, quarterly revenue grew 8.2% and quarterly earnings increased 15.5% year-over-year.

As of June 30, 2026, Tyler Technologies held $970.0M in cash and short-term investments against total debt of $1.46B, resulting in net debt of $485.0M. The company reported a current ratio of 1.55 and a debt-to-equity ratio of 0.48, supported by $3.04B in shareholders' equity and $5.81B in total assets. In FY2025, operating cash flow reached $653.5M and free cash flow was $637.5M. Cash deployment in FY2025 included $16.0M for capital expenditures and $152.7M for share buybacks, with the 5-year share count changing -1.6%.

At a last close of $360.87, Tyler Technologies had a market cap of $14.78B and an enterprise value of $14.04B. The stock trades at a trailing P/E of 47.5x and a forward P/E of 23.7x, compared to medians of 30.8x and 20.3x for its S&P 500 Technology peers. Its EV/EBITDA is 24.2x versus the peer median of 19.5x, while its price-to-sales of 6.1x sits below the peer median of 6.3x. Over the past year, TYL returned -27.3%, lagging the S&P 500 (SPY) return of 16.8%. Over 5 years, TYL returned -28.3% compared to 83.0% for SPY.

Tyler Technologies carries 13 Strong Buy, 6 Buy, and 4 Hold ratings, with 0 Sell and 0 Strong Sell ratings. The mean price target is $425.45, representing an upside of 17.9% from the last close of $360.87. For the fiscal year ending December 31, 2026, consensus estimates project revenue of $2.55B and EPS of $13.10, indicating estimated EPS growth of 15.8%. Across 23 analysts covering the next fiscal year, projected revenue is $2.81B and EPS is $15.36. Tyler Technologies beat EPS estimates in 2 of the last 4 quarters, with its next earnings date scheduled for October 28, 2026.

This page is an AI-written research summary of Tyler Technologies, Inc. (TYL). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

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