Fair Isaac Corporation (FICO) vs Tyler Technologies, Inc. (TYL)

Fair Isaac Corporation and Tyler Technologies, Inc. are both Software Application companies. Fair Isaac Corporation is the larger, with a market value of $18.6B against $13.4B — 1.4× the size. Fair Isaac Corporation trades at the lower P/E: 24.8× against 42.7×. Fair Isaac Corporation grew revenue faster over the last twelve months: 24.1% against 8.19%. Fair Isaac Corporation has the higher net margin (34.1% vs 13.4%) and the higher return on invested capital (62.5% vs 6.61%). Across the 21 metrics below, Fair Isaac Corporation leads on 13 and Tyler Technologies, Inc. on 8.

Valuation

Metric FICO TYL Software Application median
P/E 24.79 42.67 24.79
P/S 8.17 5.58 2.67
P/B n/m 4.46 3.01
Price to free cash flow 20.36 19.20 16.59
EV/EBITDA 19.88 27.92 14.40
EV/Sales 10.40 6.00 2.62
Earnings yield 4.03% 2.34% 0.00%
Free cash flow yield 4.91% 5.21% 1.91%

Profitability

Metric FICO TYL Software Application median
Gross margin 85.10% 47.21% 67.03%
Operating margin 51.65% 15.14% 0.00%
Net margin 34.05% 13.36% 0.00%
Free cash flow margin 40.14% 29.05% 4.32%
Return on equity (29.67%) 9.73% 0.00%
Return on assets 41.80% 5.78% 0.00%
Return on invested capital 62.47% 6.61% 0.00%

Growth

Metric FICO TYL Software Application median
Revenue growth (TTM) 24.09% 8.19% 12.40%
EPS growth (last fiscal year) 29.78% 19.01% —
Revenue growth, 5-year CAGR 8.99% 15.87% 13.72%
Net income growth, 5-year CAGR 22.49% 10.13% 0.00%

Health

Metric FICO TYL Software Application median
Debt to equity (1.36) 0.46 0.02
Current ratio 1.18 1.55 1.55
Net debt to EBITDA 3.11 (0.98) 0.06

Dividend

Metric FICO TYL Software Application median
Dividend yield — — 1.25%
Payout ratio 0.00 0.00 0.00

Size

Metric FICO TYL Software Application median
Market cap 18.57b 13.39b 396.11m

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