TYL Stock Analysis: Buy, Sell, or Hold?

TYL - Tyler Technologies, Inc.

SERVICES-PREPACKAGED SOFTWARE
$350.73
2.59 (0.74%) ▲
5d: +6.72%
30d: +21.71%
90d: +13.6%
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LOW Confidence
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Analysis Updated: Aug 21, 2026 12:00 AM ET
Earnings: Jul 29, 2026 0d

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Interactive Price Chart (1 Month)

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💡
Bottom Line:
📊 MIXED SIGNALS: TYL shows conflicting indicators. Wait for confirmation before entering.
See Forward Earnings Fair Value & Price Prediction →

Long-Term Wealth Forecast (2031)

Based on Analyst Consensus Growth & Historical Valuation

0% (Stagnation) 50% (Hyper Growth)
EST. PRICE IN 2031
$632.31
Based on 10.6% avg growth
INTRINSIC VALUE TODAY
$392.62
10.7% Margin of Safety

How this is calculated: We use a Growth Decay Model: starting with analyst consensus growth (adjusted above) and gradually slowing it down to a long-term terminal rate (4%) by Year 5. This provides a more realistic valuation than assuming constant hyper-growth. We then apply a 25.0x Exit PE.

In-depth Analysis How we analyze

Valuation Analysis: TYL is currently trading at $350.73, which is considered extended relative to its 30-day fair value range of $301.15 to $333.54. From a valuation perspective, the stock is trading at a discount (Forward PE: 22.7) compared to its historical average (25.7). Remarkably, the market is currently pricing in an annual earnings decline of 4.1% over the next few years. This pessimistic expectation contrasts with the company's recent 15.5% earnings growth, suggesting potential undervaluation if the company simply maintains stability.

Technical Outlook: Technically, TYL is in a downtrend. The price is approaching resistance at $355.97. A breakout above this level would be a bullish signal, while rejection here could lead to consolidation.

Market Sentiment: TYL scores 15/100 on our bottoming-setup gauge. Note this measures entry quality, not trend direction — a low score can mean the chart is extended after a strong run (don't chase) or still falling without stabilization; better entries typically come after a pullback toward the 20-day average. In the options market, Implied Volatility is low (4th percentile), suggesting options premiums are relatively cheap. This makes it an attractive time for long options strategies if you have a directional bias. Wall Street analysts see significant upside, with an average price target of $426.64 (+22.5%). Current signals suggest waiting for a better entry point before initiating new positions.

Quick Decision Summary

Current Position EXTENDED
Historical Trading Range $301.15 - $333.54
Company Quality Score 32/100 (SELL)
Options IV Signal 4th percentile (COMPLACENCY WARNING)
Volume Confirmation HIGH
Confidence Score 38.5%

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All Signals

  • BEARISH: Price extended above range (+5.2% above its trading range)
  • BULLISH: Options cheap (IV 4th percentile)
  • BEARISH: Weak technical setup (15/100)
  • BULLISH: High volume confirmation
  • BULLISH: Trading 22.5% below Wall St target ($426.64)
  • WARNING: Composite score 32/100 in the bottom quintile — this cohort historically lags the market

Trading Range Analysis

30-Day Trading Range $301.15 - $333.54
Current vs Trading Range EXTENDED
Expected Move (7 Days) ±$21.34 (6.1%)

Support & Resistance Levels

Support Level $308.00
Resistance Level $355.97
Current Trend Downtrend
Technical data as of Aug 21, 2026

Fundamental Context

Forward P/E (Next Year Est.) 22.68
Wall Street Target $426.64 (+22.5%)
Revenue Growth (YoY) 8.2%
Earnings Growth (YoY) 15.5%
Profit Margin 13.4%
Valuation Discount vs History -4.1% cheaper
PE vs Historical 22.7 vs 25.7 CHEAP
Market-Implied Price Targets If current PE multiple persists
Implied Growth (YoY): -4.1% (market-implied from PE analysis)
1-Year Target $333.87 (-4%)
2-Year Target $320.18 (-8%)
3-Year Target $307.05 (-12%)
3-Yr Target (if PE normalizes) (PE: 23→26) $347.97 (0%)
3-Year Scenarios Using analyst projected EPS growth
Bull: (PE: 22.7, Growth: 17.2%) $560.42 (+61%)
Base: (SPY PE: 20.1, Growth: 17.2%) $495.97 (+43%)
Bear: (PE: 17.1, Growth: 17.2%) $421.58 (+21%)
📈 Valuation based on Current Earnings
RECOVERY PLAY: Stock looks expensive now (44x PE), but valuation improves significantly next year (23x PE) as earnings recover.
Trailing PE: 43.69 | Current EPS (TTM): $7.94
Bull Case $737.74 (+110%)
Analyst growth 93.3%, PE expands to 48.1
Base Case $670.68 (+91%)
Market implied 93.3%, PE stable at 43.7
Bear Case $235.88 (-33%)
Severe decline -20.0%, PE contracts to 37.1
These are projections based on PE multiples and EPS growth scenarios, not predictions. Actual results may vary significantly.
💡 Upside Surprise Potential
If earnings stabilize (0% growth), PE could expand from 22.7 to 25.7
Stabilization Target: $394.54 (+13.3%)
PE Expansion Potential: +13.3%
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Last updated: August 22, 2026 9:55 PM ET
Data refreshes hourly during market hours. Next update: 10:55 PM
🔥 Top Stocks Breaking Out Now
Ticker Score Recommendation Change %
Insider Activity (6 Months)
2
Buys
3
Sells
Net
INSIDERS SELLING
Recent Transactions
Gilbert Ray Cisneros, Jr. BUY 2026-03-13
Glenn A Carter SELL 1624 shares 2026-03-12
Jeffrey David Puckett SELL 5174 shares 2026-03-05

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Advanced TYL Option Strategies

Professional options setups generated by AI based on today's TYL price and gamma walls.

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