At a glance
Tyler Technologies Inc is worth $16.06B, about 56 times its fiscal 2025 earnings. Revenue grew 9.1% to $2.33B in fiscal 2025, with 13.5% kept as profit; over 5 years it has grown 15.9% a year. It pays no dividend; it spent $187.6M buying back its shares over FY2021–FY2025. The stock returned −15.2% over the past year with dividends reinvested and −5.7% a year over five years, against +11.5% and +11.7% for the S&P 500. At its worst it fell 22.5% in the 2020 crash (S&P 500: 33.7%) and 42.1% in the 2022 bear market (S&P 500: 24.5%), and was back at its earlier high 2 months and 25 months after the lows.
The business in plain English
Tyler Technologies makes software for government. Its customers include cities, counties, states, school districts, courts and federal agencies. The programs handle the daily work of the public sector: property tax billing, court case management, police and jail systems, permits and inspections, budgeting and payroll, school transportation and campsite reservations. Tyler also offers add-on tools that link these systems. One is an online payments platform that processes nearly half a billion transactions a year.
Most of Tyler's revenue comes back year after year. In the year ended December 31, 2025, subscriptions made up 68% of its $2.33 billion in revenue. Subscriptions are fees for software Tyler runs in the cloud (software as a service, or SaaS), plus per-transaction fees from online payments and electronic court filing. SaaS contracts usually last one to three years. Maintenance and support for software that clients run on their own computers added 19.1%. Those fees are generally paid a year in advance, and most contracts renew automatically. Professional services, such as setting up systems, converting data and training staff, added 10.4%.
Tyler reports two business segments: Enterprise Software, with 72.6% of 2025 revenue, and Platform Technologies, with 26.9%. Its clients are funded mainly by property, business and sales taxes and fees, which the company says have historically been fairly stable.
Price history
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TYL -15.2% over the year to Nov 2, 2026, total return with dividends reinvested.
How it makes money
By product or service
| Subscriptions | $1.59B | 68% |
| Maintenance | $445.6M | 19.1% |
| Professional services | $242.7M | 10.4% |
| Hardware and other | $45.0M | 1.9% |
| Software licenses and royalties | $12.8M | 0.5% |
By business segment
| Enterprise Software | $1.69B | 72.6% |
| Platform Technologies | $628.6M | 26.9% |
Latest results
- In Q3 FY2026 (ended Sep 30, 2026), revenue was $647.6M, up 8.7% from a year earlier, and net income was $95.1M (+12.7%).
- For fiscal 2025, revenue was $2.33B (+9.1% year over year; +15.9% a year from FY2020 to FY2025) with a 13.5% net margin.
Financial health check
| Revenue growth a year (FY2020–FY2025) | +15.9% good |
|---|---|
| Operating margin | 15.3% good |
| Free cash flow margin | 27.3% good |
| Return on equity (FY2025) | 8.5% watch |
| Return on assets (FY2025) | 5.6% watch |
| Net cash (cash minus debt) | $-505.4M watch |
| Fiscal year | Revenue | Net income | Free cash flow |
|---|---|---|---|
| FY2020 | $1.12B | $194.8M | $332.4M |
| FY2021 | $1.59B | $161.5M | $337.8M |
| FY2022 | $1.85B | $164.2M | $358.9M |
| FY2023 | $1.95B | $165.9M | $359.9M |
| FY2024 | $2.14B | $263.0M | $604.1M |
| FY2025 | $2.33B | $315.6M | $637.5M |
Valuation snapshot
| Market value | $16.06B |
|---|---|
| P/E ratio | 56.1 |
| Dividend yield | None |
Rank among 1514 US companies
Market value at each year end
Tyler Technologies’s market value went from $5.23B at the end of 2016 to $16.06B on Nov 2, 2026, about 3.1 times as much; since the end of 2025 it is down 18%.
Show as a table
| Year end | Market value | Change |
|---|---|---|
| Nov 2, 2026 | $16.06B | -17.8% |
| 2025 | $19.53B | -20.9% |
| 2024 | $24.68B | +40.1% |
| 2023 | $17.61B | +31.2% |
| 2022 | $13.43B | -39.1% |
| 2021 | $22.04B | +25.2% |
| 2020 | $17.60B | +50.5% |
| 2019 | $11.70B | +62.1% |
| 2018 | $7.21B | +8.5% |
| 2017 | $6.65B | +27.2% |
| 2016 | $5.23B |
Price behavior
| YTD | 1 yr | 3 yr | 5 yr | 10 yr | |
|---|---|---|---|---|---|
| TYL price data to Nov 2, 2026 | -11.0% | -15.2% | -0.1% | -5.7% | +9.9% |
Show as a table
| Year | Price data |
|---|---|
| 2026 (to date) | -11.0% |
| 2025 | -21.3% |
| 2024 | +37.9% |
| 2023 | +29.7% |
| 2022 | -40.1% |
| 2021 | +23.2% |
| 2020 | +45.5% |
| 2019 | +61.5% |
| 2018 | +5.0% |
| 2017 | +24.0% |
| 2016 | -18.1% |
| 2015 | +59.3% |
| 2014 | +7.2% |
| 2013 | +110.8% |
| 2012 | +60.9% |
| 2011 | +45.0% |
| 2010 | +4.3% |
| 2009 | +66.2% |
| 2008 | -7.1% |
| 2007 | -8.3% |
| 2006 | +60.1% |
| 2008 financial crisis stocks fell Oct 9, 2007 – Mar 9, 2009 | Lost 15.4% over that stretch · deepest drop along the way 35.9%, back to its old high 8 months after the low |
|---|---|
| 2020 COVID crash stocks fell Feb 19, 2020 – Mar 23, 2020 | Lost 19.9% over that stretch · deepest drop along the way 22.5%, back to its old high 1.8 months after the low |
| 2022 bear market stocks fell Jan 3, 2022 – Oct 12, 2022 | Lost 37.4% over that stretch · deepest drop along the way 42.1%, back to its old high 25 months after the low |
Insider activity
Form 4 filings from 2025-10-31 to 2026-10-31 (25 read): 2 open-market purchases ($694K) and 9 sales ($9.1M).
| Date | Insider | Type | Value |
|---|---|---|---|
| Aug 28, 2026 | H Lynn Jr Moore President and CEO, Director | sell | $3.4M |
| Aug 24, 2026 | Jeffrey David Puckett Chief Operating Officer | sell | $3.0M |
| Mar 5, 2026 | Jeffrey David Puckett Chief Operating Officer | sell | $617K |
| Mar 12, 2026 | Glenn A Carter Director | sell | $567K |
| Mar 5, 2026 | Jeffrey David Puckett Chief Operating Officer | sell | $510K |
Who owns it
Large shareholders (13G filings)
| Vanguard Capital Management | 7.57% | Mar 31, 2026 |
| BlackRock, Inc. | 6.7% | Sep 30, 2026 |
| Norges Bank | 5.6532% | Mar 31, 2026 |
| Vanguard Portfolio Management | 4.86% | Sep 30, 2026 |
ETFs with the most weight in TYL
| DAT ProShares Big Data Refiners ETF | 5.25% |
| TMFM Motley Fool Mid-Cap Growth ETF | 4.49% |
| BAMG Brookstone Growth Stock ETF | 3.31% |
| MOTE VanEck Morningstar ESG Moat ETF | 2.92% |
| MGRO VanEck Morningstar Wide Moat Growth ETF | 2.71% |
| NBSM Neuberger Berman Small-Mid Cap ETF | 2.42% |
| GTEK Goldman Sachs Future Tech Leaders Equity ETF | 1.57% |
| RSPT Invesco S&P 500 Equal Weight Technology ETF | 1.57% |
What could go wrong
- Government contracts are slow and hard to predict. Agencies award contracts through open bidding, and public budgets and approvals can stretch timelines. Deals can slip or go to rivals, making Tyler's new business and quarterly revenue hard to forecast.
- Breaches could expose sensitive citizen data. Tyler stores large amounts of personal information for its government clients. Hackers have breached its internal network before, and past data leaks have required breach notices. Cleanup and legal costs may exceed insurance.
- Relies on Amazon Web Services for hosting. Tyler uses outside providers, including Amazon Web Services, to host some of its cloud products. An outage at those providers or on the wider internet could cut off service to governments and create liability.
- Fixed-price contracts can squeeze profits. Some projects are priced at a set fee. If installing software, converting old data or training staff takes longer than planned, Tyler pays the extra cost, not the client.
- Clients could switch vendors or go in-house. Recurring contracts can end. A government could run its systems itself or move to a rival vendor or new entrant. That would cut into the subscription and maintenance fees behind most of Tyler's revenue.
- Debt with variable interest rates. As of September 30, 2026, Tyler owed about $1.41 billion against $905 million of cash and investments. Part of its debt carries variable rates, so higher interest rates could raise its borrowing costs.
Recent events
- Quarterly results released
- Other company announcement
- Quarterly results released; Other company announcement
- Other company announcement
- Major agreement signed; Major agreement ended; New debt or financial obligation
- Major agreement signed; New debt or financial obligation; Unregistered sale of shares; Other company announcement
- Other company announcement
- Shareholder vote results
- Quarterly results released
- Investor presentation or announcement
For income and retirement investors
Tyler pays no dividend, and its annual report for 2025 says it does not foresee paying one. An income investor would get no cash payments and would have to cash in shares to fund spending. Instead, Tyler has returned cash through buybacks, meaning it purchases its own shares. It spent $187.6 million on buybacks from 2021 through 2025, including $174.7 million in 2025. The share count fell 3% between October 2021 and October 2026.
The stock has dropped sharply in past downturns. It fell 35.9% during the 2008 financial crisis and took 8 months to recover. In the 2020 COVID crash it fell 22.5% and recovered in under two months. In the 2022 bear market it fell 42.1% and took 25 months to recover. As of October 28, 2026, the shares were down 29.3% over the prior year. A single stock carries more risk than a diversified fund that spreads money across many companies.
Questions investors ask
How does Tyler Technologies make money?
Mostly through recurring fees from government clients. In the year ended December 31, 2025, subscriptions made up 68% of Tyler's $2.33 billion in revenue. Subscriptions include cloud-hosted software and per-transaction fees from online payments and electronic court filing. Maintenance and support for software that clients run themselves added 19.1%. Professional services, such as installation, data conversion and training, added 10.4%. Hardware and software licenses made up the small remainder.
Does Tyler Technologies pay a dividend?
No. Tyler pays no dividend on its common stock, and its annual report for 2025 says it does not foresee paying one. Instead, the company has spent $187.6 million from 2021 through 2025 on buybacks, which reduce the number of shares outstanding. Investors who need regular income from their portfolio would get none from these shares, so any return depends on the share price rising.
Who uses Tyler Technologies software?
Government agencies at every level. Tyler's clients include cities, counties, states, school districts, courts, prosecutors, police departments, jails and federal agencies. The company describes its market as hundreds of federal agencies, all 50 states, about 3,000 counties, 36,000 cities and towns, 12,600 school districts and about 40,000 special districts. It has enterprise contracts in 30 states, each served by a dedicated state-level office.
Is Tyler Technologies profitable?
Yes. In the year ended December 31, 2025, Tyler earned $315.6 million of net income on $2.33 billion of revenue. That is a net margin of 13.5%, or about 13.5 cents of profit per dollar of sales. Net income rose 20% from the year before, and earnings per share reached $7.20. Free cash flow was $637.5 million, about twice its reported profit. Free cash flow is the cash left after paying operating costs and investing in equipment and other long-term assets.
How has Tyler Technologies stock performed?
Poorly over one and five years, but positively over 10 years. As of October 28, 2026, the share price was down 29.3% over one year and 33% in total over five years. Over 10 years it was up 122%, about 8.3% a year. In the year to that date, it fell as much as 46.7% from a high. On that date the shares traded at about 50 times 2025 earnings, so investors paid roughly $50 for each $1 of annual profit per share.