TYL Stock Analysis: Buy, Sell, or Hold?

TYL - Tyler Technologies, Inc.

SERVICES-PREPACKAGED SOFTWARE
$311.89
12.81 (4.28%) ▲
5d: -3.91%
30d: -8.22%
90d: +2.62%
BUY
MODERATE Confidence
Analysis Updated: May 15, 2026 12:00 AM ET
Earnings: Apr 29, 2026 0d
Smart Money Accumulation

TYL is down 5.2% this week, but smart money is accumulating calls. Top strike: $350 2026-06-18 with 189 OI. Call ratio: 67% View Scanner →

Strength: 4.3/10

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Interactive Price Chart (1 Month)

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💡
Bottom Line:
💡 BUY OPPORTUNITY: TYL shows positive signals but monitor for confirmation. Market pricing in 8.5% decline. Moderate conviction.
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
$544.75
Based on 8.8% avg growth
INTRINSIC VALUE TODAY
$338.25
7.8% 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 $311.89, which is considered oversold relative to its 30-day fair value range of $321.58 to $343.49. From a valuation perspective, the stock is trading at a discount (Forward PE: 21.7) compared to its historical average (28.4). Remarkably, the market is currently pricing in an annual earnings decline of 8.5% over the next few years. This pessimistic expectation contrasts with the company's recent 2.2% earnings growth, suggesting potential undervaluation if the company simply maintains stability.

Technical Outlook: Technically, TYL is in a strong downtrend. Immediate support is located at $294.36, while resistance sits at $338.14. The stock is showing strong short-term momentum, up 4.3% recently.

Market Sentiment: TYL has a weak technical setup (25/100), with bearish trendlines and momentum suggesting caution for short-term entries. Wall Street analysts see significant upside, with an average price target of $445.14 (+42.7%). Combining these factors, the current setup offers a favorable risk/reward ratio for buyers.

Quick Decision Summary

Current Position OVERSOLD
Historical Trading Range $321.58 - $343.49
Company Quality Score 56/100 (HOLD)
Volume Confirmation HIGH
Confidence Score 61.9%

All Signals

  • BULLISH: Price oversold vs 30-day range
  • BEARISH: Weak technical setup (25/100)
  • BULLISH: High volume confirmation
  • BULLISH: Strong upward momentum (+4.3%)
  • BULLISH: Trading 42.7% below Wall St target ($445.14)

Trading Range Analysis

30-Day Trading Range $321.58 - $343.49
Current vs Trading Range OVERSOLD

Support & Resistance Levels

Support Level $294.36
Resistance Level $338.14
Current Trend Strong Downtrend
Technical data as of May 15, 2026

Fundamental Context

Forward P/E (Next Year Est.) 21.72
Wall Street Target $445.14 (+42.7%)
Revenue Growth (YoY) 8.6%
Earnings Growth (YoY) 2.2%
Profit Margin 13.3%
Valuation Discount vs History -8.5% cheaper
PE vs Historical 21.7 vs 28.4 CHEAP
Market-Implied Price Targets If current PE multiple persists
Implied Growth (YoY): -8.5% (market-implied from PE analysis)
1-Year Target $285.38 (-9%)
2-Year Target $261.12 (-16%)
3-Year Target $238.93 (-23%)
3-Yr Target (if PE normalizes) (PE: 22→28) $312.41 (+0%)
3-Year Scenarios Using analyst projected EPS growth
Bull: (PE: 22.1, Growth: 13.5%) $463.03 (+49%)
Base: (SPY PE: 21.7, Growth: 13.5%) $455.68 (+46%)
Bear: (PE: 18.5, Growth: 13.5%) $387.33 (+24%)
📈 Valuation based on Current Earnings
RECOVERY PLAY: Stock looks expensive now (41x PE), but valuation improves significantly next year (22x PE) as earnings recover.
Trailing PE: 41.31 | Current EPS (TTM): $7.24
Bull Case $652.51 (+109%)
Analyst growth 98.3%, PE expands to 45.4
Base Case $593.19 (+90%)
Market implied 98.3%, PE stable at 41.3
Bear Case $203.37 (-35%)
Severe decline -20.0%, PE contracts to 35.1
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 21.7 to 28.4
Stabilization Target: $407.82 (+30.8%)
PE Expansion Potential: +30.8%
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Last updated: May 16, 2026 3:34 AM ET
Data refreshes hourly during market hours. Next update: 4:34 AM
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Ticker Score Recommendation Change %
Insider Activity (6 Months)
5
Buys
9
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.

Iron Condor Bull Call Bear Put Collar

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