Tyler Technologies (TYL)
Information Technology · $13.4B market cap · SEC CIK 0000860731
fundamentals score out of 100
Next reports on Oct 27, 2026, after the close, with analysts expecting $3.50 in earnings per share.
The case for TYL
- Generated $638M of free cash flow in FY2025, 27% of revenue.
- Holds more cash ($1.0B) than long-term debt ($600M).
- Revenue growing 8.2% year over year.
- Has compounded revenue at 15.9% a year over five years.
- Moves less than the market (beta 0.77).
The case against
- Down 37.8% over the past year.
- Pricey at 41.2× earnings, against a long-run market average nearer 20×.
What the score is made of
Each factor is half a curve over reported figures and half a rank among the other Information Technology companies (momentum is judged against fixed thresholds only), and the five are blended by weight. It describes the last filing and the current price. It is not a forecast.
| Valuewhat you pay for the earnings, sales, assets and cash | 53 |
|---|---|
| Growthhow fast revenue and earnings are moving, this year and over five | 54 |
| Profitabilityhow much of the revenue becomes profit, and how much of that is cash | 46 |
| Momentumhow the price has behaved lately | 38 |
| Stabilityhow violently it moves, what it owes and what it pays you | 84 |
- Each factor except momentum is half fixed thresholds, half rank among the 73 Information Technology companies.
Key numbers
| Price / earnings | 41.2× |
|---|---|
| Price / book | 4.06× |
| Price / sales | 5.5× |
| Revenue growth (YoY) | +8.2% |
| EPS growth (YoY) | +7.8% |
| Gross margin | 47% |
| Operating margin | 15% |
| Net margin | 13% |
| Return on equity | 9% |
| Debt / equity | 0.46× |
| Current ratio | 1.55 |
| Dividend yield | none |
| Beta | 0.77 |
| 52-week range | $270.71 – $538.90 |
| Position in that range | 22% of the way up |
| 3-month return | +19.2% |
| 1-year return | -37.8% |
Five years of financials, as filed
Pulled from Tyler Technologies's XBRL filings on SEC EDGAR. Italic rows are derived from the rows above.
| FY2025 | FY2024 | FY2023 | FY2022 | FY2021 | |
|---|---|---|---|---|---|
| Revenue | $2.3B | $2.1B | $2.0B | $1.9B | $1.6B |
| Gross profit | $1.1B | $936M | $861M | $784M | $710M |
| Operating income | $358M | $300M | $219M | $214M | $181M |
| Net income | $316M | $263M | $166M | $164M | $161M |
| Operating cash flow | $654M | $625M | $380M | $381M | $372M |
| Capital expenditure | $16.0M | $20.5M | $20.5M | $22.5M | $33.9M |
| Total assets | $5.6B | $5.2B | $4.7B | $4.7B | $4.7B |
| Total liabilities | $1.9B | $1.8B | $1.7B | $2.1B | $2.4B |
| Shareholder equity | $3.7B | $3.4B | $2.9B | $2.6B | $2.3B |
| Cash | $1.0B | $745M | $165M | $174M | $309M |
| Long-term debt | $600M | $598M | $596M | $957M | $1.3B |
| Free cash flow | $638M | $604M | $360M | $359M | $338M |
| Gross margin | 46.5% | 43.8% | 44.1% | 42.4% | 44.6% |
| Operating margin | 15.3% | 14.0% | 11.2% | 11.6% | 11.4% |
| Net margin | 13.5% | 12.3% | 8.5% | 8.9% | 10.1% |
| Diluted shares | 43.8M | 43.5M | 42.8M | 42.4M | 42.2M |
Share count is up 3.7% over 4 years. Mild issuance.
What Tyler Technologies says it does
DESCRIPTION OF BUSINESS Tyler Technologies, Inc. ("Tyler" or "Company") is a leading provider of integrated software and technology management solutions for the public sector. Our solutions empower local, state, and federal government entities to create smarter, safer, and stronger communities. We offer the broadest range of software solutions and services designed for every level of public sector government agency. Our solutions deliver mission-critical technology to support the essential functions of government, including public safety, justice, public health, taxation and budgeting, infrastructure and land use, outdoor recreation, utility and civic services, regulation, K-12 education, and social services. We provide both the back-office systems-of-record that serve the operational needs of specific government agencies, as well as platform technology solutions that are designed to integrate with our back-office solutions and be…
Risk factors TYL lists in its 10-K
- Risks Associated with Our Business, Including Our Software Products
- Cyber-attacks, the use of artificial intelligence and security vulnerabilities can disrupt our business and harm our competitive position
- Disclosure of personally identifiable information and/or other sensitive client data could result in liability and harm our reputation
- Material portions of our business require the Internet infrastructure to be reliable
- Certain of our solutions utilize open source software, and any failure to comply with the terms of one or more of these open source licenses could adversely affect our business
- We run the risk of errors or defects with new products or enhancements to existing products
- We must timely adapt to and implement technological changes to be remain competitive
- We may be unable to protect our proprietary rights
- Clients may elect to terminate our recurring contracts and manage operations internally
- Risks Associated with Selling Products and Services into the Public Sector Marketplace
- Selling products and services into the public sector poses unique challenges
- Global health crises, such as a pandemic, may adversely affect our business and results of operations
- A prolonged economic slowdown could harm our operations
- The open bidding process creates uncertainty in predicting future contract awards