Tyler Technologies, Inc. (TYL)

In the past six months, Tyler Technologies reported a 9.7% increase in total revenues year-over-year for Q3 2025, with SaaS revenues growing by 20% and ARR up 10.7%, leading to a 1.26% rise in the stock price. For Q2 2025, the company reported a 10.2% year-over-year increase in total revenues and a 21.3% rise in non-GAAP earnings per share, exceeding analyst expectations, resulting in a 4.24% increase in stock price. Morningstar UK listed Tyler Technologies as one of "The 10 Best Companies to Invest in Now." A critical vulnerability was discovered in Tyler Technologies' jury management systems, exposing sensitive personal data of jurors across at least a dozen U.S. states. The state of California alleged that Tyler Technologies violated the Honest Pricing Act. A project in Cook County, Illinois, faced delays, budget increases, and leadership changes.

Tyler Technologies' Annualized Recurring Revenue (ARR) can fluctuate from quarter to quarter due to seasonality. The company's shift towards cloud-based solutions and SaaS models has led to a high proportion of recurring revenues, comprising 83% of total revenues in 2023, 85.7% in Q4 2024, 87% in Q2 2025, and 86% in Q3 2025.

Tyler Technologies is a leading provider of integrated software and technology management solutions for the public sector, operating within the IT Software & Services sector, specifically in the Proprietary Software industry. The company delivers software solutions and services that support essential government functions for federal, state, county, and municipal agencies, as well as school districts and other local government offices. Its major products and solutions encompass platform technologies such as cybersecurity and digital solutions; financial management and education solutions including ERP systems; courts and justice software; public safety solutions for law enforcement and emergency services; property appraisal and tax software; planning, regulatory, and maintenance solutions; land and vital records management; health & human services solutions; and outdoor recreation solutions.

Tyler Technologies is headquartered in Plano, Texas, and operates in the United States, Canada, the Philippines, and India. It maintains offices in 17 U.S. states and one in Toronto, Ontario, Canada. The company's solutions are implemented across all 50 U.S. states, Canada, the Caribbean, and Australia, with over 45,000 installations across 13,000 locations.

Tyler Technologies' brand reputation has seen both positive recognition and challenges. The company was named to Forbes' "America's Best Large Employers" list and recognized by Morningstar UK as one of "The 10 Best Companies to Invest in Now." Tyler Technologies maintains a 98% client retention rate. However, a significant security flaw in its jury management systems exposed sensitive personal data, and California initiated legal action against Tyler Technologies for allegedly violating the Honest Pricing Act. A project in Cook County, Illinois, experienced significant delays and budget overruns, and litigation continued in North Carolina over allegations that a Tyler implementation contributed to wrongful arrests. In 2024, Tyler was found liable for a customer data breach and required to compensate affected individuals.

Tyler Technologies' ownership is primarily composed of institutional investors, holding between 93.30% and 94.96% of the company's shares. Key institutional shareholders include Vanguard Group Inc. and BlackRock Inc. Individual investors also contribute to the ownership base, with insiders owning about 0.8% of the company's stock.