Baird Boosts Tyler Technologies to Bullish Fresh Pick with $720 Price Target

Tyler Technologies has been designated a bullish Fresh Pick by Baird due to attractive valuation. Baird maintains its Outperform rating and $720 price target. The analyst believes the company's valuation is undervalued and expects strong growth in the coming years.

Tyler Technologies, Inc. (NYSE: TYL) has been designated a bullish Fresh Pick by Baird, reflecting the analyst's positive outlook on the company's valuation and growth prospects. Baird maintains its Outperform rating and sets a $720 price target, indicating that the company's current valuation is undervalued.

The analyst's bullish stance is supported by Tyler Technologies' strong technical indicators and mixed fundamentals. The company's technical indicators score 7.49, suggesting a bullish technical outlook. However, the fundamentals score of 5.62 indicates a mixed performance, with strong cash flow and profit growth but weaker returns on equity and leverage metrics [2].

Despite the mixed fundamentals, Tyler Technologies has shown resilience in the face of recent price declines and regulatory pressures. The company's technical indicators, such as the Williams %R, have shown consistent bullish bias, suggesting a potential short-term bounce [2]. Additionally, the company's insiders have sold a significant stake in the company, but the sales have taken place at around the current share price, indicating that the insiders are not selling at a discount [1].

Institutional investors show stronger confidence in Tyler Technologies, with a 50.98% block inflow ratio compared to the 49.46% retail inflow ratio. This suggests that big money is cautiously accumulating the stock, indicating potential near-term momentum despite retail caution [2].

While Tyler Technologies faces mixed analyst sentiment, with Barclays recommending a 'Buy' and DA Davidson issuing a 'Neutral' rating, the company's strong technical indicators and attractive valuation make it an appealing option for investors. The analyst's expectation of strong growth in the coming years supports the bullish Fresh Pick designation by Baird.

References:
[1] https://simplywall.st/stocks/us/software/nyse-tyl/tyler-technologies/news/tyler-technologies-insiders-sell-us57m-of-stock-possibly-sig
[2] https://www.ainvest.com/news/stock-analysis-tyler-technologies-outlook-technicals-strong-earnings-caution-apply-2508/