NYSE:TYL

Stock Analysis Report

Executive Summary

Tyler Technologies, Inc. provides integrated information management solutions and services for the public sector in the United States and internationally.

Rewards

Earnings are forecast to grow 13.18% per year

Risk Analysis

No risks detected for TYL from our risk checks.


Snowflake Analysis

Flawless balance sheet with limited growth.


Similar Companies

Share Price & News

How has Tyler Technologies's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: TYL has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-1.6%

TYL

1.4%

US Software

0.06%

US Market


1 Year Return

56.2%

TYL

43.7%

US Software

19.4%

US Market

Return vs Industry: TYL exceeded the US Software industry which returned 43.7% over the past year.

Return vs Market: TYL exceeded the US Market which returned 19.4% over the past year.


Shareholder returns

TYLIndustryMarket
7 Day-1.6%1.4%0.06%
30 Day7.7%8.2%1.1%
90 Day16.0%19.0%8.9%
1 Year56.2%56.2%45.2%43.7%21.9%19.4%
3 Year114.6%114.6%154.0%143.2%48.9%39.3%
5 Year178.8%178.8%224.9%201.4%71.9%53.1%

Price Volatility Vs. Market

How volatile is Tyler Technologies's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Tyler Technologies undervalued compared to its fair value and its price relative to the market?

87.79x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: TYL ($332.92) is trading above our estimate of fair value ($174.48)

Significantly Below Fair Value: TYL is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: TYL is poor value based on its PE Ratio (87.8x) compared to the Software industry average (49.8x).

PE vs Market: TYL is poor value based on its PE Ratio (87.8x) compared to the US market (18.3x).


Price to Earnings Growth Ratio

PEG Ratio: TYL is poor value based on its PEG Ratio (6.7x)


Price to Book Ratio

PB vs Industry: TYL is overvalued based on its PB Ratio (8x) compared to the US Software industry average (6x).


Next Steps

Future Growth

How is Tyler Technologies forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?

13.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: TYL's forecast earnings growth (13.2% per year) is above the savings rate (1.7%).

Earnings vs Market: TYL's earnings (13.2% per year) are forecast to grow slower than the US market (14.2% per year).

High Growth Earnings: TYL's earnings are forecast to grow, but not significantly.

Revenue vs Market: TYL's revenue (9.3% per year) is forecast to grow faster than the US market (7.6% per year).

High Growth Revenue: TYL's revenue (9.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: TYL's Return on Equity is forecast to be low in 3 years time (8.3%).


Next Steps

Past Performance

How has Tyler Technologies performed over the past 5 years?

19.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: TYL has high quality earnings.

Growing Profit Margin: TYL's current net profit margins (13.5%) are lower than last year (15.8%).


Past Earnings Growth Analysis

Earnings Trend: TYL's earnings have grown by 19.2% per year over the past 5 years.

Accelerating Growth: TYL's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: TYL had negative earnings growth (-0.6%) over the past year, making it difficult to compare to the Software industry average (18.4%).


Return on Equity

High ROE: TYL's Return on Equity (9.1%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Tyler Technologies's financial position?


Financial Position Analysis

Short Term Liabilities: TYL's short term assets ($679.7M) exceed its short term liabilities ($509.1M).

Long Term Liabilities: TYL's short term assets ($679.7M) exceed its long term liabilities ($65.5M).


Debt to Equity History and Analysis

Debt Level: TYL is debt free.

Reducing Debt: TYL had no debt 5 years ago.

Debt Coverage: TYL has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: TYL has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: TYL has a low level of unsold assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if TYL's debt is covered by short term assets.


Next Steps

Dividend

What is Tyler Technologies's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.7%industryaverage1.1%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate TYL's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate TYL's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if TYL's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if TYL's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of TYL's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

12.0yrs

Average management tenure


CEO

H. Moore (51yo)

1.8yrs

Tenure

US$19,835,252

Compensation

Mr. H. Lynn Moore, Jr., has been President of Tyler Technologies, Inc. since January 2017 and has been its Chief Executive Officer since May 10, 2018. Mr. Moore served as Executive Vice President at Tyler  ...


CEO Compensation Analysis

Compensation vs Market: H.'s total compensation ($USD19.84M) is above average for companies of similar size in the US market ($USD10.78M).

Compensation vs Earnings: H.'s compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.


Leadership Team

NamePositionTenureCompensationOwnership
John Marr
Executive Chairman of the Board3.1yrsUS$19.42m0.66% $87.3m
H. Moore
CEO, President & Director1.8yrsUS$19.84m0.16% $21.5m
Brian Miller
Executive VP14.8yrsUS$8.33m0.12% $15.8m
Dustin Womble
Director14.8yrsno data0.42% $56.0m
W. Smith
Chief Accounting Officer13.9yrsno datano data
Jeff Green
Chief Technology Officer0yrsno datano data
Matthew Bieri
Chief Information Officer10.1yrsno datano data
Abigail Diaz
Chief Legal Officer & Corporate Secretary3.1yrsno datano data
Brett Cate
Chief Sales Officer0yrsno datano data
Samantha Crosby
Chief Marketing Officer0yrsno datano data

12.0yrs

Average Tenure

59yo

Average Age

Experienced Management: TYL's management team is seasoned and experienced (12 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
John Marr
Executive Chairman of the Board3.1yrsUS$19.42m0.66% $87.3m
H. Moore
CEO, President & Director1.8yrsUS$19.84m0.16% $21.5m
Dustin Womble
Director14.8yrsno data0.42% $56.0m
John King
Independent Director15.8yrsUS$325.04k0.21% $28.1m
Donald Brattain
Lead Director3.1yrsUS$314.79k0.029% $3.8m
Brenda Cline
Independent Director5.8yrsUS$328.79k0.0054% $709.5k
Glenn Carter
Independent Director5.8yrsUS$312.54k0.0020% $262.4k
Daniel Pope
Independent Director3.8yrsUS$300.54k0.0028% $371.9k

4.8yrs

Average Tenure

59.5yo

Average Age

Experienced Board: TYL's board of directors are considered experienced (4.8 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: TYL insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Tyler Technologies, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Tyler Technologies, Inc.
  • Ticker: TYL
  • Exchange: NYSE
  • Founded: 1966
  • Industry: Application Software
  • Sector: Software
  • Market Cap: US$13.187b
  • Shares outstanding: 38.99m
  • Website: https://www.tylertech.com

Number of Employees


Location

  • Tyler Technologies, Inc.
  • 5101 Tennyson Parkway
  • Plano
  • Texas
  • 75024
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TYLNYSE (New York Stock Exchange)YesCommon StockUSUSDFeb 1969
TYPDB (Deutsche Boerse AG)YesCommon StockDEEURFeb 1969
TYL *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNFeb 1969

Biography

Tyler Technologies, Inc. provides integrated information management solutions and services for the public sector in the United States and internationally. The company operates in two segments, Enterprise Software, and Appraisal and Tax. It offers financial management solutions, including modular fund accounting systems for government agencies or not-for-profit entities; utility billing systems for the billing and collection of metered and non-metered services; products to automate city and county functions, such as municipal courts, parking tickets, equipment and project costing, animal and business licenses, permits and inspections, code enforcement, citizen complaint tracking, ambulance billing, fleet maintenance, and cemetery records management; and student information and transportation solutions for K-12 schools. The company also provides a suite of judicial solutions comprising court case management, court and law enforcement, prosecutor, and supervision systems to handle multi-jurisdictional county or statewide implementations, and single county systems; public safety software solutions; systems and software to automate the appraisal and assessment of real and personal property, as well as tax applications for agencies that bill and collect taxes; planning, regulatory, and maintenance software solutions for public sector agencies; software applications to enhance and automate land and other records and document management; and data and insights solutions. In addition, it offers software as a service arrangements and electronic document filing solutions for courts and law offices; software and hardware installation, data conversion, training, product modification, and maintenance and support services; and property appraisal outsourcing services for taxing jurisdictions. The company has a strategic collaboration agreement with Amazon Web Services for cloud hosting services. The company was founded in 1966 and is based in Plano, Texas. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/19 00:14
End of Day Share Price2020/02/18 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.