What is Tyler Technologies' 2026 revenue forecast?

Tyler Technologies forecasts its full-year 2026 revenue to be between $2.50 billion and $2.55 billion.

Why did Tyler Technologies shares drop?

Tyler Technologies shares dropped over 8% in extended trading after the company issued a 2026 revenue forecast below Wall Street expectations.

What factors are affecting Tyler Technologies' outlook?

The company's outlook is affected by government entities paring back budgets due to economic uncertainty, leading to concerns about slower cloud migrations and extended procurement processes.

Home / Business and Economy / Tyler Tech Shares Tumble on Weak 2026 Revenue Outlook

Tyler Tech Shares Tumble on Weak 2026 Revenue Outlook

12 Feb

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Summary

Tyler Technologies forecasts 2026 revenue below Wall Street expectations.
Company shares dropped over 8% after the disappointing forecast.
Government budget constraints are impacting software developer's outlook.

Tyler Tech Shares Tumble on Weak 2026 Revenue Outlook

Tyler Technologies has forecast its full-year 2026 revenue to be below Wall Street's expectations. The company anticipates revenue between $2.50 billion and $2.55 billion, which falls short of the $2.56 billion projected by analysts. This projection caused the software developer's shares to decline by more than 8% in extended trading on Wednesday, February 12, 2026.

The company's performance is closely tied to the budgetary cycles of U.S. state, county, and municipal governments. Economic uncertainty and potential funding shortfalls are leading to concerns about the pace of cloud migrations. Governments are reportedly taking longer to approve projects due to tighter budgets and extended procurement processes.

For the fourth quarter, Tyler Technologies reported revenue of $575.2 million, missing the average analyst expectation of $591.1 million. Adjusted earnings per share for the same period were $2.64, also below the estimated $2.72. The company expects annual subscription revenue to grow between 12% and 15%, while analysts had predicted a 15.4% growth.