Return on Retained Earnings (RORE) is an indicator of a company's growth potential, it shows how much a company earns by reinvesting its retained earnings, i.e. profits after dividend payments.
Tyler Technologies's 5-Year RORE % for the quarter that ended in Mar. 2026 was 10.93%.
The industry rank for Tyler Technologies's 5-Year RORE % or its related term are showing as below:
MEX:TYL's 5-Year RORE % is ranked better than 63.27% of 2208
companies
in the Software industry
Industry Median: 2.515
vs MEX:TYL: 10.93
Return on Retained Earnings (RORE) is important to investors because it reveals a company's efficiency and growth potential. A higher RORE indicates a higher return. A high RORE indicates that the company should reinvest profits into the business. A lower RORE suggests that the company should distribute profits to shareholders by paying out dividends, since those dollars aren't generating much additional growth for the company.
There are a several different ways to arrive at the Return on Retained Earnings. The simplest way to calculate it is by using published information on Earnings per Share (EPS) and Dividend per Share (DPS) over a selected period. Here, 5-year period is chosen.
Be Aware
Please keep in mind that the RORE is relative to the nature of the business and its competitors. If another company in the same sector is producing a lower return on retained earnings, it doesn’t necessarily mean it’s a bad investment. It may just suggest the company is older and no longer in a high growth stage. At such a stage in the business cycle, it would be expected to see a lower RORE and higher dividend payout.
Tyler Technologies 5-Year RORE % Related Terms
Tyler Technologies 5-Year RORE % Historical Data
* Premium members only.
The historical data trend for Tyler Technologies's 5-Year RORE % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Software - Application subindustry, Tyler Technologies's 5-Year RORE %, along with its competitors' market caps and 5-Year RORE % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Tyler Technologies 5-Year RORE % vs Software Industry
For the Software industry and Technology sector, Tyler Technologies's 5-Year RORE % distribution charts can be found below:
* The bar in red indicates where Tyler Technologies's 5-Year RORE % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
In the calculation of 5-Year RORE %, the most recent and first period EPS (Diluted) is the trailing twelve months (TTM) data ended in Mar. 2026 and 5-year before.
Tyler Technologies (MEX:TYL) has a 5-Year RORE % of 10.93 as of Mar. 2026. 5-Year RORE % shows how much a company earns by reinvesting its retained earnings in 5-year. View historical data on Tyler Technologies and its competitors. According to the industry distribution chart, Tyler Technologies ranks #811 out of 2208 companies in the Software industry, placing it in the top 36.7%.
Is Tyler Technologies' 5-Year RORE % too high?
Tyler Technologies' current 5-Year RORE % is 10.93. The Software industry median 5-Year RORE % is 2.52. Tyler Technologies' value of 10.93 is 334.6% above this industry median. Based on the distribution chart, Tyler Technologies ranks #811 out of 2208 companies in the Software industry, which is above the industry midpoint. Overall, Tyler Technologies has a GF Score™ of 81/100, reflecting its overall financial health beyond just this single metric.
How does Tyler Technologies' 5-Year RORE % compare to U and DT?
According to the Software industry distribution chart, Tyler Technologies ranks #811 out of 2208 companies for 5-Year RORE %. This puts Tyler Technologies in the upper half of its industry. The industry median 5-Year RORE % is 2.52. Tyler Technologies' value of 10.93 is 334.6% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 5-Year RORE % for a Software company?
The median 5-Year RORE % among Software companies is 2.52, based on 2,208 companies in the industry. Companies in the top quartile (top 25%) have a 5-Year RORE % significantly above this median, while those in the bottom quartile fall well below. However, 5-Year RORE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Tyler Technologies's current 5-Year RORE % of 10.93 is 334.6% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high 5-Year RORE % mean?
A high 5-Year RORE % can signal that a stock is expensive relative to its fundamentals. 5-Year RORE % shows how much a company earns by reinvesting its retained earnings in 5-year. View historical data on Tyler Technologies and its competitors. For the Software industry, the median 5-Year RORE % is 2.52 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Tyler Technologies's current 5-Year RORE % is 10.93. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Tyler Technologies stock overvalued right now?
Tyler Technologies (MEX:TYL) has a current 5-Year RORE % of 10.93. The stock's GF Value™ is MXN17,632.81, compared to a current price of MXN9,360.00 — trading 46.9% below its estimated fair value. The current 5-Year RORE % is 10.93 and 334.6% above the Software industry median of 2.52. Tyler Technologies' overall GF Score™ is 81/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 5-Year RORE % calculated?
5-Year RORE % is calculated from a company's financial statements. For Tyler Technologies (MEX:TYL), the current 5-Year RORE % is 10.93 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Tyler Technologies (MEX:TYL) Overvalued in 2026?
Based on GuruFocus' analysis, Tyler Technologies stock appears to be undervalued.
The current stock price of MXN9,360.00 is trading 46.9% below its estimated GF Value™ of MXN17,632.81.
Key valuation signals for MEX:TYL:
5-Year RORE %: 10.93
GF Value™: MXN17,632.81 vs. price of MXN9,360.00 (46.9% below fair value)
Industry Position: 334.6% above the Software median (#811 of 2208)
No single metric tells the full story. See the MEX:TYL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Tyler Technologies provides a full suite of software solutions and services that address the needs of cities, counties, schools, courts and other local government entities. The company's three core products are Munis, which is the core ERP system, Odyssey, which is the court management system, or CMS, and payments. The company also provides a variety of add-on modules and offers outsourced property tax assessment services.
81GF Score
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5-Year RORE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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