Fundamental Analysis
From financial management and property taxes to courts and education, we create, deliver and support software solutions and services that make it easier for local governments and schools to manage their complex, day-to-day business functions. We have a unique vantage point due to our singular focus on serving the public sector with a broad product portfolio.
From the courtroom to the classroom, Tyler’s products serve as the backbone for core business functions in the public sector. We are dedicated to helping our local government and school clients streamline the many aspects of their financial management, court case, property tax, public safety, citizen services, public records and education systems.
https://www.tylertech.com/about-us
Reasons to buy – Tyler
High level decisions on buy or sell for a stock should be driven by
1. The margin that the company makes. i.e. Out of $1 that the company sells how much does the company taken home.
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- Here we see Tyler makes a margin of 17% on Operating Level and about 17% on Net level. This means that out of $1 that it makes $0.17 is being pocketed as profits.
2. The growth rates of the company on revenue, net income, EPS and Dividend. i.e. If it sold $1 last year how much more did it sell this year.
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- Here we see net revenue growth of 10% in the revenue and the net profit figures grew by 15%.
3. The efficiency ratios of the company on Equity and Assets. i.e. How well is the company able to sweat each $1 that it puts to work in the company.
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- Here we see Tyler makes a Return on Assets of 9% and Return of Equity of 12% which is pretty good.
Tyler Technologies is involved in providing integrated software solutions to the public sector. Given the effort it takes to build relationships and get approvals for providing software services to public sector companies this one has a built in advantage that is not very easy to replicate.
GOLD STANDARD : This is one of the no-debate stocks that are a must have in ones portfolio.
All these ratios can be found in the attached excel sheets and are based on the EDGAR report submitted by Tyler to the SEC. All the data on the above analysis can be found at the link below
Balance Sheet
Income Statement
