Tyler Technologies Inc (TYL, Financial) has recently garnered significant attention from investors and financial analysts, thanks to its strong financial performance. With a current share price of $493.17 and a daily gain of 0.82%, Tyler Technologies Inc has shown a notable three-month growth of 17.48%. A detailed analysis, supported by the GF Score, indicates that Tyler Technologies Inc is poised for significant future growth.
What Is the GF Score?
The GF Score is a proprietary ranking system developed by GuruFocus, assessing stocks based on five key valuation aspects. These aspects have shown a strong correlation with long-term stock performance from 2006 to 2021. Stocks with higher GF Scores typically yield higher returns. The GF Score ranges from 0 to 100, with 100 indicating the highest potential for outperformance. Tyler Technologies Inc boasts a GF Score of 95, reflecting its high potential for market outperformance.
- Financial strength rank: 8/10
- Profitability rank: 9/10
- Growth rank: 10/10
- GF Value rank: 5/10
- Momentum rank: 9/10
Understanding Tyler Technologies Inc Business
Tyler Technologies Inc, with a market cap of $20.94 billion and annual sales of $1.99 billion, specializes in software solutions and services for local government entities. Its core products include Munis (ERP system), Odyssey (court management system), and various payment solutions. The company also offers property tax assessment services. Tyler Technologies Inc's operating margin stands at 12.07%, indicating efficient management and profitability.
Financial Strength Breakdown
Tyler Technologies Inc's financial strength is evident in its robust balance sheet and prudent capital management. The company's Interest Coverage ratio is an impressive 13.27, significantly above the benchmark set by Benjamin Graham. Additionally, its Altman Z-Score of 8.96 suggests a strong buffer against financial distress, and a Debt-to-Revenue ratio of 0.32 further solidifies its financial health.
Profitability and Growth Metrics
Tyler Technologies Inc excels in profitability, as evidenced by its high Profitability Rank. The company's Piotroski F-Score and Predictability Rank further affirm its operational efficiency and consistent performance. In terms of growth, Tyler Technologies Inc has demonstrated a strong commitment to expansion, with a 3-Year Revenue Growth Rate of 19.3%, outperforming 72.26% of peers in the software industry.
Conclusion
Considering Tyler Technologies Inc's robust financial strength, high profitability, and consistent growth metrics, the GF Score highlights the company's exceptional position for potential market outperformance. Investors looking for similar opportunities can explore more companies with strong GF Scores through the GF Score Screen.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
