Head to Head Analysis: Tyler Technologies (TYL) & Its Peers

Tyler Technologies (NYSE:TYL) is one of 959 publicly-traded companies in the “Software” industry, but how does it compare to its peers? We will compare Tyler Technologies to related businesses based on the strength of its earnings, risk, profitability, institutional ownership, analyst recommendations, valuation and dividends.

Analyst Ratings

This is a breakdown of recent ratings and recommmendations for Tyler Technologies and its peers, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Tyler Technologies	0	4	11	1	2.81
Tyler Technologies Competitors	5835	21607	44998	1500	2.57

Tyler Technologies currently has a consensus target price of $440.88, indicating a potential upside of 3.69%. As a group, “Software” companies have a potential upside of 28.49%. Given Tyler Technologies’ peers higher probable upside, analysts clearly believe Tyler Technologies has less favorable growth aspects than its peers.

Valuation & Earnings

This table compares Tyler Technologies and its peers gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Tyler Technologies	$2.48 billion	$315.60 million	53.55
Tyler Technologies Competitors	$1.90 billion	$382.82 million	112.40

Tyler Technologies has higher revenue, but lower earnings than its peers. Tyler Technologies is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Profitability

This table compares Tyler Technologies and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Tyler Technologies	13.51%	12.21%	7.30%
Tyler Technologies Competitors	-599.26%	26.08%	-8.90%

Volatility and Risk

Tyler Technologies has a beta of 0.74, suggesting that its stock price is 26% less volatile than the S&P 500. Comparatively, Tyler Technologies’ peers have a beta of 1.35, suggesting that their average stock price is 35% more volatile than the S&P 500.

Insider & Institutional Ownership

93.3% of Tyler Technologies shares are held by institutional investors. Comparatively, 41.5% of shares of all “Software” companies are held by institutional investors. 1.1% of Tyler Technologies shares are held by insiders. Comparatively, 19.9% of shares of all “Software” companies are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Summary

Tyler Technologies beats its peers on 7 of the 13 factors compared.

About Tyler Technologies

Tyler Technologies provides software and technology services primarily to public-sector organizations. Its customers include state and local governments, courts, public safety agencies, schools, and other public entities. The company’s offerings include software for financial management, tax and property appraisal, courts and justice, public safety, education, utility billing, and permitting. Tyler also provides digital services such as online payments and tools for public access to government information.