Summary of Tyler Technologies Conference Call Company Overview - Tyler Technologies is an enterprise software company focused on the public sector, providing essential software applications for government functions such as property taxes, courts, public safety, ERP, licensing, and permitting [2][3] - The company has approximately 45,000 solutions installed across about 15,000 jurisdictions, making it the largest provider in the public sector [2] Operational Highlights - In 2025, Tyler Technologies made significant progress in its multi-year cloud transition, accelerating the migration of on-premise customers to the cloud [3] - The company completed four acquisitions in 2025, focusing on small tuck-in acquisitions to enhance its product offerings [4] - Tyler is on track to achieve its 2030 revenue and margin goals set during its investor day [3] SaaS Performance - New SaaS bookings were strong in 2024 but faced challenges in 2025 due to tough comparisons and a pull-forward of deals into 2024 [6][8] - The company expects to see a recovery in 2026, driven by a normalizing pipeline and the resolution of market uncertainties [9] Cloud Migration Strategy - Tyler aims to migrate over 80% of its on-premise clients to the cloud by 2030, with a focus on larger clients [11][27] - The company is actively engaging with clients to develop migration roadmaps, indicating that moving to the cloud is a matter of "when" rather than "if" [31] AI Integration - Tyler views AI as an opportunity to enhance product value rather than a risk to its core business [16] - The company is investing in AI functionality to solve practical problems for clients, such as staffing shortages and operational efficiencies [18][19] - AI products like document automation and priority-based budgeting are generating new ARR streams that exceed existing revenue from core products [20] Competitive Landscape - Tyler maintains a leadership position in its core product areas but continues to invest in product competitiveness and innovation [24][25] - The company is focused on cross-selling opportunities, aiming to expand its product offerings within existing client relationships [12][14] Financial Outlook - Tyler has a strong gross dollar retention rate of 98% or better, with annual recurring revenue increases in the 4%-5% range [32] - The company expects free cash flow margins for 2026 to remain in the range of 25%-27%, consistent with previous years [49] Key Investment Areas - Tyler has identified three key areas for investment: AI products, product competitiveness, and improved service delivery [24] - The company is also exploring M&A opportunities that align with its AI strategy [23] Market Dynamics - Clients are increasingly allocating budgets for AI solutions from personnel budgets rather than IT budgets, indicating a shift in how governments view technology investments [39][40] - The company sees significant opportunities in the courts and justice sector, with successful migrations like Idaho serving as proof points for future growth [42][45] Conclusion - Tyler Technologies is well-positioned for growth through its cloud migration strategy, AI integration, and strong customer retention, with a focus on enhancing product offerings and competitive positioning in the public sector software market [3][16][32]

Core Viewpoint - Taylor Bank has announced the appointment of Tyler McCalister as Commercial Loan Officer and Vice President to enhance its commercial lending services in Sussex County, Delaware [1] Company Expansion - The addition of Tyler McCalister is part of Taylor Bank's strategy to strengthen its presence in the Rehoboth Beach, Lewes, and broader Sussex County market [1] - McCalister's extensive experience in commercial lending is expected to be a valuable asset for the bank's growth in this region [1]

Core Viewpoint - Tyler Technologies, Inc. (TYL) is expected to report strong earnings growth, with analysts projecting a significant increase in earnings per share (EPS) for both the fourth quarter of fiscal 2025 and the full fiscal year 2025 [2][3]. Financial Performance - Analysts anticipate TYL will report a profit of $2.04 per share on a diluted basis for Q4 2025, reflecting a 9.1% increase from $1.87 per share in the same quarter last year [2]. - For the full fiscal year 2025, TYL is expected to achieve an EPS of $8.75, which is a 15.4% increase from $7.58 in fiscal 2024 [3]. - The EPS is projected to rise further to $9.87 in fiscal 2026, indicating a year-over-year growth of 12.8% [3]. Stock Performance - TYL shares have underperformed compared to the S&P 500 Index, which gained 19.3% over the past 52 weeks, with TYL shares down 21.2% during the same period [4]. - The stock also lagged behind the Technology Select Sector SPDR Fund, which saw a 29% increase [4]. Recent Earnings Report - On October 29, 2025, TYL reported an adjusted EPS of $2.97, exceeding Wall Street's expectations of $2.88, with revenue of $595.9 million, surpassing forecasts of $594.8 million [5]. - TYL expects full-year adjusted EPS to be in the range of $11.30 to $11.50, with revenue projected between $2.3 billion and $2.4 billion [5]. Analyst Ratings - The consensus opinion among analysts on TYL stock is bullish, with a "Strong Buy" rating from 15 out of 22 analysts, one suggesting a "Moderate Buy," and six giving a "Hold" rating [6]. - The average analyst price target for TYL is $633.10, indicating a potential upside of 42.9% from current levels [6].

Core Insights - Zacks Premium offers various tools for investors to enhance their stock market strategies and confidence in investing [1] Zacks Style Scores - Zacks Style Scores are indicators designed to help investors select stocks with the highest potential to outperform the market within 30 days, rated from A to F based on value, growth, and momentum [2] Value Score - The Value Style Score focuses on identifying undervalued stocks by analyzing ratios such as P/E, PEG, Price/Sales, and Price/Cash Flow to highlight attractive investment opportunities [3] Growth Score - The Growth Style Score assesses a company's financial health and future prospects by examining projected and historical earnings, sales, and cash flow to identify stocks with sustainable growth potential [4] Momentum Score - The Momentum Style Score is based on price trends and earnings outlook changes, utilizing factors like one-week price change and monthly earnings estimate changes to identify favorable investment timing [5] VGM Score - The VGM Score combines Value, Growth, and Momentum Scores, providing a comprehensive indicator for investors seeking stocks with the best overall potential [6] Zacks Rank - The Zacks Rank is a proprietary model that uses earnings estimate revisions to guide investors in building successful portfolios, with 1 (Strong Buy) stocks achieving an average annual return of +23.9% since 1988, significantly outperforming the S&P 500 [7][8] Stock Selection Strategy - To maximize returns, investors should focus on stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B, while ensuring that 3 (Hold) ranked stocks also have favorable Style Scores for potential upside [10] Company Spotlight: Tyler Technologies - Tyler Technologies is a leading provider of integrated information-management solutions for the public sector, currently holding a Zacks Rank of 2 (Buy) and a VGM Score of B [12] - The company is projected to experience a year-over-year earnings growth of 19.5% for the current fiscal year, supported by a Growth Style Score of A [12] - Recent upward revisions in earnings estimates have led to a Zacks Consensus Estimate of $11.41 per share, with an average earnings surprise of +4.3%, making Tyler Technologies a strong candidate for investors [13]

Core Insights - Tyler Technologies, Inc has signed an agreement with Chesterfield County, Virginia, to provide payment processing solutions powered by Amazon Web Services, serving nearly 400,000 residents [1][2]. Group 1: Agreement Details - The agreement will unify and simplify the payments experience for residents, enhancing user experience through a single payment portal [2][3]. - Chesterfield County aims to consolidate payment providers across various departments, including public utilities and treasury, using Tyler as the single payment vendor [2][4]. Group 2: Benefits of the Solution - The solution includes payment processing, a bill presentment portal, and tools for integration with existing back-end systems, improving financial reporting and reconciliation for county staff [2][3]. - Residents will be able to make various payments, such as taxes and utility bills, from one online location, streamlining the payment process [3][4]. Group 3: Company Background - Tyler Technologies is a leading provider of integrated software and technology services for the public sector, with over 45,000 successful installations across 15,000 locations [5]. - The company has been recognized for growth and innovation, appearing on Government Technology's GovTech 100 list, and has a long-standing presence in Virginia since 1996 [5].

Core Viewpoint - Growth investors are increasingly focused on stocks with above-average financial growth, which can lead to solid returns, but identifying such stocks can be challenging due to inherent volatility and risks [1] Group 1: Company Overview - Tyler Technologies (TYL) is recommended as a cutting-edge growth stock due to its favorable Growth Score and top Zacks Rank [2] - The company has a historical EPS growth rate of 13.2%, with projected EPS growth of 10.3% this year, surpassing the industry average of 7.9% [4] Group 2: Financial Metrics - Tyler Technologies exhibits a year-over-year cash flow growth of 15%, which is significantly higher than the industry average of 9.9% [5] - The company's annualized cash flow growth rate over the past 3-5 years stands at 14.6%, compared to the industry average of 8.6% [6] Group 3: Earnings Estimates - The current-year earnings estimates for Tyler Technologies have been revised upward, with the Zacks Consensus Estimate increasing by 0.2% over the past month [8] - The combination of a Growth Score of A and a Zacks Rank 2 indicates that Tyler Technologies is a potential outperformer and a solid choice for growth investors [10]

Core Insights - Tyler Technologies, Inc. (NYSE:TYL) is recognized as a leading investment opportunity in the big data sector, with TD Cowen initiating coverage with a Buy rating and a price target of $650 [1] - The company is identified as the top vendor in the public sector market, which is characterized as both substantial and stable [1] Industry Growth - TD Cowen forecasts approximately 20% long-term growth in the software-as-a-service (SaaS) sector, primarily driven by cloud migrations, which are expected to accelerate between 2027 and 2028 [2] - There is notable interest in Tyler Technologies' new artificial intelligence solutions, indicating a strategic focus on innovation within the industry [2] Strategic Acquisitions - To enhance its product offerings by 2025, Tyler Technologies has made several strategic acquisitions, including Edu.Link Incorporated to improve workflow automation and compliance tracking in K–12 HR solutions [3] - The acquisition of CloudGavel aims to enhance electronic warrant solutions, thereby increasing the efficiency of warrant submissions and assessments in legal and public safety sectors [3] Company Overview - Tyler Technologies is a prominent provider of integrated software and services tailored for the North American public sector, offering cloud-based solutions that improve data management capabilities for local governments and public institutions [4]

Core Insights - Tyler Technologies has successfully implemented its Enterprise Computer Aided Dispatch (CAD) solution for the MCCDA in Michigan [1] Company Summary - Tyler Technologies is a provider of technology solutions for the public sector, focusing on enhancing operational efficiency through advanced software solutions [1] - The implementation of the CAD solution signifies a strategic partnership with the MCCDA, aimed at improving emergency response capabilities [1]

Core Insights - Tyler Technologies, Inc. has been recognized with 12 industry workplace awards, highlighting its leadership in technology innovation, growth, workplace culture, environmental stewardship, and overall corporate performance [1][2]. Company Overview - Tyler Technologies is a leading provider of integrated software and technology services for the public sector, empowering government entities to operate efficiently and transparently [3]. - The company has over 45,000 successful installations across 15,000 locations, serving clients in all 50 states, Canada, the Caribbean, Australia, and other international locations [3]. - Tyler Technologies has been consistently recognized for its growth and innovation, including being listed on Government Technology's GovTech 100 list [3]. Awards and Recognition - The awards received by Tyler Technologies include: - Detroit Free Press' Top Workplaces Michigan - Forbes' America's Best Employers for Tech Workers - Forbes' America's Best Large Employers - Forbes' America's Dream Employers - Forbes' Global 2000 - Government Technology's GovTech Top 100 - Newsweek's America's Greatest Workplaces for Diversity - Newsweek's America's Greenest Companies - Newsweek's America's Greatest Workplaces in Tech - Newsweek's America's Greatest Workplaces - Newsweek's America's Most Responsible Companies - TIME's America's Best Midsize Companies [4].

Core Insights - Tyler Technologies, Inc. has been recognized with 12 industry workplace awards, highlighting its leadership in technology innovation, growth, workplace culture, environmental stewardship, and overall corporate performance [1][2]. Company Overview - Tyler Technologies is a leading provider of integrated software and technology services for the public sector, empowering government entities to operate efficiently and transparently [3]. - The company has over 45,000 successful installations across 15,000 locations, serving clients in all 50 states, Canada, the Caribbean, Australia, and other international locations [3]. - Tyler Technologies is an S&P 500 company headquartered in Plano, Texas, and has been consistently recognized for growth and innovation, including being listed on Government Technology's GovTech 100 list [3]. Awards and Recognition - The awards received by Tyler Technologies include: - Detroit Free Press' Top Workplaces Michigan - Forbes' America's Best Employers for Tech Workers - Forbes' America's Best Large Employers - Forbes' America's Dream Employers - Forbes' Global 2000 - Government Technology's GovTech Top 100 - Newsweek's America's Greatest Workplaces for Diversity - Newsweek's America's Greenest Companies - Newsweek's America's Greatest Workplaces in Tech - Newsweek's America's Greatest Workplaces - Newsweek's America's Most Responsible Companies - TIME's America's Best Midsize Companies [4].