TYL PE Ratio & Valuation,Is TYL Overvalued

TYL Relative Valuation

TYL's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, TYL is overvalued; if below, it's undervalued.

Historical Valuation

Tyler Technologies Inc (TYL) is now in the Undervalued zone, suggesting that its current forward PE ratio of 35.98 is considered Undervalued compared with the five-year average of 51.93. The fair price of Tyler Technologies Inc (TYL) is between 641.17 to 804.42 according to relative valuation methord. Compared to the current price of 455.64 USD , Tyler Technologies Inc is Undervalued By 28.94%.

Relative Value

Fair Zone

641.17-804.42

Current Price：455.64

28.94%

Undervalued

35.98

25.93

EV/EBITDA

Tyler Technologies Inc. (TYL) has a current EV/EBITDA of 25.93. The 5-year average EV/EBITDA is 35.65. The thresholds are as follows: Strongly Undervalued below 26.37, Undervalued between 26.37 and 31.01, Fairly Valued between 40.30 and 31.01, Overvalued between 40.30 and 44.94, and Strongly Overvalued above 44.94. The current Forward EV/EBITDA of 25.93 falls within the Strongly Undervalued range.

27.98

EV/EBIT

Tyler Technologies Inc. (TYL) has a current EV/EBIT of 27.98. The 5-year average EV/EBIT is 39.10. The thresholds are as follows: Strongly Undervalued below 28.13, Undervalued between 28.13 and 33.61, Fairly Valued between 44.58 and 33.61, Overvalued between 44.58 and 50.06, and Strongly Overvalued above 50.06. The current Forward EV/EBIT of 27.98 falls within the Strongly Undervalued range.

7.51

Tyler Technologies Inc. (TYL) has a current PS of 7.51. The 5-year average PS is 9.35. The thresholds are as follows: Strongly Undervalued below 6.22, Undervalued between 6.22 and 7.78, Fairly Valued between 10.91 and 7.78, Overvalued between 10.91 and 12.47, and Strongly Overvalued above 12.47. The current Forward PS of 7.51 falls within the Undervalued range.

25.48

P/OCF

Tyler Technologies Inc. (TYL) has a current P/OCF of 25.48. The 5-year average P/OCF is 41.53. The thresholds are as follows: Strongly Undervalued below 28.27, Undervalued between 28.27 and 34.90, Fairly Valued between 48.16 and 34.90, Overvalued between 48.16 and 54.79, and Strongly Overvalued above 54.79. The current Forward P/OCF of 25.48 falls within the Strongly Undervalued range.

27.45

P/FCF

Tyler Technologies Inc. (TYL) has a current P/FCF of 27.45. The 5-year average P/FCF is 46.98. The thresholds are as follows: Strongly Undervalued below 27.38, Undervalued between 27.38 and 37.18, Fairly Valued between 56.78 and 37.18, Overvalued between 56.78 and 66.58, and Strongly Overvalued above 66.58. The current Forward P/FCF of 27.45 falls within the Undervalued range.

Tyler Technologies Inc (TYL) has a current Price-to-Book (P/B) ratio of 5.20. Compared to its 3-year average P/B ratio of 6.53 , the current P/B ratio is approximately -20.26% higher. Relative to its 5-year average P/B ratio of 7.01, the current P/B ratio is about -25.78% higher. Tyler Technologies Inc (TYL) has a Forward Free Cash Flow (FCF) yield of approximately 3.30%. Compared to its 3-year average FCF yield of 2.22%, the current FCF yield is approximately 48.84% lower. Relative to its 5-year average FCF yield of 2.14% , the current FCF yield is about 54.15% lower.

5.20

P/B

Median3y

6.53

Median5y

7.01

3.30

FCF Yield

Median3y

2.22

Median5y

2.14

Competitors Valuation Multiple

The average P/S ratio for TYL's competitors is 4.34, providing a benchmark for relative valuation. Tyler Technologies Inc Corp (TYL) exhibits a P/S ratio of 7.51, which is 72.92% above the industry average. Given its robust revenue growth of 9.67%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

Revenue Growth

Market Cap

Performance Decomposition

Market capitalization of TYL decreased by 25.50% over the past 1 year. The primary factor behind the change was an increase in Revenue Growth from 543.34M to 595.88M.

The secondary factor is the Margin Expansion, contributed 1.36%to the performance.

Overall, the performance of TYL in the past 1 year is driven by Revenue Growth. Which is more sustainable.

9.67%

543.34M → 595.88M

Revenue Growth

1.36%

13.97 → 14.16

Margin Expansion

-36.53%

95.49 → 60.61

P/E Change

-25.50%

601.64 → 448.23

Mkt Cap Growth

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Frequently Asked Questions

Is Tyler Technologies Inc (TYL) currently overvalued or undervalued?

What is Tyler Technologies Inc (TYL) fair value?

TYL's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average , adjusted by weights. The fair price of Tyler Technologies Inc (TYL) is between 641.17 to 804.42 according to relative valuation methord.

How does TYL's valuation metrics compare to the industry average?

What is the current P/B ratio for Tyler Technologies Inc (TYL) as of Jan 08 2026?

As of Jan 08 2026, Tyler Technologies Inc (TYL) has a P/B ratio of 5.20. This indicates that the market values TYL at 5.20 times its book value.

What is the current FCF Yield for Tyler Technologies Inc (TYL) as of Jan 08 2026?

As of Jan 08 2026, Tyler Technologies Inc (TYL) has a FCF Yield of 3.30%. This means that for every dollar of Tyler Technologies Inc’s market capitalization, the company generates 3.30 cents in free cash flow.

What is the current Forward P/E ratio for Tyler Technologies Inc (TYL) as of Jan 08 2026?

As of Jan 08 2026, Tyler Technologies Inc (TYL) has a Forward P/E ratio of 35.98. This means the market is willing to pay $35.98 for every dollar of Tyler Technologies Inc’s expected earnings over the next 12 months.

What is the current Forward P/S ratio for Tyler Technologies Inc (TYL) as of Jan 08 2026?

As of Jan 08 2026, Tyler Technologies Inc (TYL) has a Forward P/S ratio of 7.51. This means the market is valuing TYL at $7.51 for every dollar of expected revenue over the next 12 months.

TYL Valuation