Tyler Technologies Inc TYL

Morningstar Rating
Add To Portfolio
|%
Chart Data Not Available
  • Last Close
  • Sector
  • Industry
  • Investment Style
    Mid Growth
  • Market Cap
  • Forward Div Yield
  • Trailing Div Yield
  • Price/Sales
    13.03
  • Price/Book
    8.17
  • Beta (5-Year)
    0.85
  • Consensus Forward P/E
    58.48
  • Trailing 12-mo Rev

Morningstar's Analysis

Valuation Feb 13, 2025
Currency in USD
Is it the right time to buy or sell?
Fair ValueLearn Moreplay
1-Star Price
Premium
Economic Moat
Premium
5-Star Price
Premium
Capital Allocation
Premium
Tyler Technologies: Investor Day Suggests Steady Execution Should Make for Smoother Sailing
Author Photo
Dan Romanoff, CPA
Senior Equity Analyst
Analyst Note | by Dan Romanoff, CPA Updated May 13, 2025

Tyler hosted its first investor day since 2023. The event centered on progress since the firm established its Tyler 2030 vision two years ago, particularly on the cloud transition and against financial targets.

Business Strategy and Outlook | by Dan Romanoff, CPA Updated Feb 13, 2025

We view Tyler Technologies as the clear leader in a sleepy and underserved public service software niche market. We believe there is a decadelong runway for normalized top-line growth near 10% at Tyler, especially as demand for SaaS accelerates and the need to modernize local governments’ legacy enterprise resource planning systems intensifies.

Th

Morningstar Fair Value Estimate
The Morningstar Fair Value Estimate guides investors to the long-term, intrinsic value of a stock, helping them see beyond the present market price.

Show me how fair value is derived (00:41)

Morningstar calculates the fair value estimate of a company based on a projection of how much cash the company will generate in the future. Morningstar analysts create custom industry and company assumptions to feed income statement, balance sheet, and capital investment assumptions into a proprietary discounted cash flow modeling template. Scenario analysis, in-depth competitive advantage analysis, and a variety of other analytical tools are used to augment the discounted cash flow process. The analyst discounts future cash flows using the weighted average of the costs of equity, debt, and preferred stock (and any other funding sources), using expected future proportionate long-term, market-value weights.

The Morningstar Fair Value Estimate is a projection/opinion and not a statement of fact. If Morningstar's base-case assumptions are true the market price will converge on Morningstar's fair value estimate over time, generally within three years. Investments in securities are subject to market and other risks. Past performance of a security may or may not be sustained in the future and is no indication of future performance.

Morningstar Equity Research Methodology

Price vs. Fair Value

 
Price/Fair Value
Total Return %
Index Total Return %
2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 YTD
59.28 -18.10 24.01 4.95 61.46 45.50 23.24 -40.07 29.69 37.91 0.06
0.69 12.44 21.47 -5.05 31.22 20.90 25.78 -19.43 26.44 24.09 0.86

Related

Morningstar Research
© Copyright 2025 Morningstar, Inc. All rights reserved.

Terms of Use        Privacy Policy       Disclosures        Accessibility