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Tyler Technologies’ Strong Q2 2025 Performance and Raised Guidance Support Buy Rating

Tyler Technologies’ Strong Q2 2025 Performance and Raised Guidance Support Buy Rating

William Blair analyst Jonathan Ho has maintained their bullish stance on TYL stock, giving a Buy rating today.

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Jonathan Ho has given his Buy rating due to a combination of factors including Tyler Technologies’ strong financial performance in the second quarter of 2025. The company reported significant growth in its SaaS and transaction-based revenues, with increases of 21.5% and 21.3% respectively. This robust performance is further highlighted by the company’s total annual recurring revenue, which saw a year-over-year increase of 15.2%, indicating sustained demand and a solid financial outlook.
Additionally, Tyler Technologies has raised its full-year guidance for both revenue and pro forma EPS, reflecting confidence in continued growth and a favorable spending environment. The company attributes its success to strong market conditions in the public sector, where modernization efforts and technology investments are driving business. With recurring revenue accounting for a substantial portion of total revenue, Tyler Technologies is well-positioned for ongoing stability and growth, supporting Jonathan Ho’s Buy rating.

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