MSI vs. TYL: A Head-to-Head Stock Comparison
Here’s a clear look at MSI and TYL, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Profile
| Symbol | MSI | TYL |
|---|---|---|
| Company Name | Motorola Solutions, Inc. | Tyler Technologies, Inc. |
| Country | United States | United States |
| GICS Sector | Information Technology | Information Technology |
| GICS Industry Group | Technology Hardware & Equipment | Software & Services |
| GICS Industry | Communications Equipment | Software |
| GICS Sub-Industry | Communications Equipment | Application Software |
| Market Capitalization | 63.74 billion USD | 13.69 billion USD |
| Currency | USD | USD |
| Exchange | NYSE | NYSE |
| Listing Date | January 2, 1962 | March 17, 1980 |
| Security Type | Common Stock | Common Stock |
MSI’s market capitalization (63.74 billion USD) is substantially larger than TYL’s (13.69 billion USD), indicating a significant difference in their market valuations.
Historical Performance
This chart compares the performance of MSI and TYL by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.
Historical Performance at a Glance
| Symbol | MSI | TYL |
|---|---|---|
| 5-Day Price Return | -12.25% | -0.82% |
| 13-Week Price Return | -7.95% | -4.78% |
| 26-Week Price Return | -5.59% | -31.85% |
| 52-Week Price Return | -6.43% | -42.33% |
| Month-to-Date Return | -12.54% | -4.85% |
| Year-to-Date Return | 0.17% | -28.50% |
| 10-Day Avg. Volume | 1.17M | 0.54M |
| 3-Month Avg. Volume | 1.11M | 0.59M |
| 3-Month Volatility | 32.81% | 47.80% |
| Beta | 0.92 | 0.85 |
With betas of 0.92 for MSI and 0.85 for TYL, both stocks show similar sensitivity to overall market movements.
Profitability
Return on Equity (TTM)
MSI
103.24%
Communications Equipment Industry
- Max
- 30.58%
- Q3
- 23.44%
- Median
- 9.36%
- Q1
- 3.84%
- Min
- -7.54%
MSI’s Return on Equity of 103.24% is exceptionally high, placing it well beyond the typical range for the Communications Equipment industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.
TYL
8.73%
Software Industry
- Max
- 66.41%
- Q3
- 24.77%
- Median
- 10.70%
- Q1
- -3.47%
- Min
- -39.77%
TYL’s Return on Equity of 8.73% is on par with the norm for the Software industry, indicating its profitability relative to shareholder equity is typical for the sector.
Net Profit Margin (TTM)
MSI
18.44%
Communications Equipment Industry
- Max
- 21.96%
- Q3
- 12.10%
- Median
- 7.31%
- Q1
- 1.96%
- Min
- -8.39%
A Net Profit Margin of 18.44% places MSI in the upper quartile for the Communications Equipment industry, signifying strong profitability and more effective cost management than most of its peers.
TYL
13.53%
Software Industry
- Max
- 46.40%
- Q3
- 19.46%
- Median
- 11.92%
- Q1
- -2.39%
- Min
- -33.25%
TYL’s Net Profit Margin of 13.53% is aligned with the median group of its peers in the Software industry. This indicates its ability to convert revenue into profit is typical for the sector.
Operating Profit Margin (TTM)
MSI
25.54%
Communications Equipment Industry
- Max
- 25.54%
- Q3
- 14.89%
- Median
- 7.26%
- Q1
- 2.42%
- Min
- -11.98%
An Operating Profit Margin of 25.54% places MSI in the upper quartile for the Communications Equipment industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
TYL
15.34%
Software Industry
- Max
- 49.62%
- Q3
- 24.87%
- Median
- 13.22%
- Q1
- -3.48%
- Min
- -43.76%
TYL’s Operating Profit Margin of 15.34% is around the midpoint for the Software industry, indicating that its efficiency in managing core business operations is typical for the sector.
Profitability at a Glance
| Symbol | MSI | TYL |
|---|---|---|
| Return on Equity (TTM) | 103.24% | 8.73% |
| Return on Assets (TTM) | 12.48% | 5.81% |
| Net Profit Margin (TTM) | 18.44% | 13.53% |
| Operating Profit Margin (TTM) | 25.54% | 15.34% |
| Gross Profit Margin (TTM) | 51.66% | 46.46% |
Financial Strength
Current Ratio (MRQ)
MSI
1.04
Communications Equipment Industry
- Max
- 4.24
- Q3
- 2.62
- Median
- 1.64
- Q1
- 1.17
- Min
- 0.61
MSI’s Current Ratio of 1.04 falls into the lower quartile for the Communications Equipment industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.
TYL
1.05
Software Industry
- Max
- 3.83
- Q3
- 2.30
- Median
- 1.56
- Q1
- 1.03
- Min
- 0.08
TYL’s Current Ratio of 1.05 aligns with the median group of the Software industry, indicating that its short-term liquidity is in line with its sector peers.
Debt-to-Equity Ratio (MRQ)
MSI
3.80
Communications Equipment Industry
- Max
- 1.78
- Q3
- 0.87
- Median
- 0.33
- Q1
- 0.16
- Min
- 0.00
With a Debt-to-Equity Ratio of 3.80, MSI operates with exceptionally high leverage compared to the Communications Equipment industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.
TYL
0.16
Software Industry
- Max
- 2.40
- Q3
- 1.04
- Median
- 0.30
- Q1
- 0.00
- Min
- 0.00
TYL’s Debt-to-Equity Ratio of 0.16 is typical for the Software industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
Interest Coverage Ratio (TTM)
MSI
10.50
Communications Equipment Industry
- Max
- 78.25
- Q3
- 34.73
- Median
- 7.59
- Q1
- 3.08
- Min
- -31.15
MSI’s Interest Coverage Ratio of 10.50 is positioned comfortably within the norm for the Communications Equipment industry, indicating a standard and healthy capacity to cover its interest payments.
TYL
79.14
Software Industry
- Max
- 45.58
- Q3
- 18.40
- Median
- 2.26
- Q1
- -7.94
- Min
- -46.66
With an Interest Coverage Ratio of 79.14, TYL demonstrates a superior capacity to service its debt, placing it well above the typical range for the Software industry. This stems from either robust earnings or a conservative debt load.
Financial Strength at a Glance
| Symbol | MSI | TYL |
|---|---|---|
| Current Ratio (MRQ) | 1.04 | 1.05 |
| Quick Ratio (MRQ) | 0.87 | 1.01 |
| Debt-to-Equity Ratio (MRQ) | 3.80 | 0.16 |
| Interest Coverage Ratio (TTM) | 10.50 | 79.14 |
Growth
Revenue Growth
Revenue Growth at a Glance
| Symbol | MSI | TYL |
|---|---|---|
| Revenue Growth (MRQ vs Prior YoY) | 12.29% | 6.29% |
| Revenue Growth (TTM vs Prior YoY) | 8.00% | 9.10% |
| 3-Year Revenue CAGR | 8.63% | 8.02% |
| 5-Year Revenue CAGR | 9.52% | 15.87% |
EPS Growth
EPS Growth at a Glance
| Symbol | MSI | TYL |
|---|---|---|
| EPS Growth (MRQ vs Prior YoY) | 8.11% | 0.72% |
| EPS Growth (TTM vs Prior YoY) | 38.29% | 18.97% |
| 3-Year EPS CAGR | 17.17% | 22.97% |
| 5-Year EPS CAGR | 18.50% | 8.94% |
Dividend
Dividend Yield (TTM)
MSI
1.14%
Communications Equipment Industry
- Max
- 2.62%
- Q3
- 1.60%
- Median
- 0.01%
- Q1
- 0.00%
- Min
- 0.00%
MSI’s Dividend Yield of 1.14% is consistent with its peers in the Communications Equipment industry, providing a dividend return that is standard for its sector.
TYL
0.00%
Software Industry
- Max
- 1.07%
- Q3
- 0.45%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
TYL currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.
Dividend Payout Ratio (TTM)
MSI
33.80%
Communications Equipment Industry
- Max
- 77.24%
- Q3
- 38.59%
- Median
- 0.64%
- Q1
- 0.00%
- Min
- 0.00%
MSI’s Dividend Payout Ratio of 33.80% is within the typical range for the Communications Equipment industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
TYL
0.00%
Software Industry
- Max
- 42.71%
- Q3
- 17.28%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
TYL has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.
Dividend at a Glance
| Symbol | MSI | TYL |
|---|---|---|
| Dividend Yield (TTM) | 1.14% | 0.00% |
| Dividend Payout Ratio (TTM) | 33.80% | 0.00% |
Valuation
Price-to-Earnings Ratio (TTM)
MSI
29.63
Communications Equipment Industry
- Max
- 75.36
- Q3
- 75.36
- Median
- 47.98
- Q1
- 28.20
- Min
- 14.03
MSI’s P/E Ratio of 29.63 is within the middle range for the Communications Equipment industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
TYL
43.37
Software Industry
- Max
- 124.17
- Q3
- 63.63
- Median
- 32.01
- Q1
- 20.28
- Min
- 9.45
TYL’s P/E Ratio of 43.37 is within the middle range for the Software industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
Price-to-Sales Ratio (TTM)
MSI
5.46
Communications Equipment Industry
- Max
- 25.80
- Q3
- 13.75
- Median
- 4.37
- Q1
- 1.67
- Min
- 0.31
MSI’s P/S Ratio of 5.46 aligns with the market consensus for the Communications Equipment industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
TYL
5.87
Software Industry
- Max
- 16.07
- Q3
- 8.86
- Median
- 5.64
- Q1
- 3.38
- Min
- 0.91
TYL’s P/S Ratio of 5.87 aligns with the market consensus for the Software industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
Price-to-Book Ratio (MRQ)
MSI
26.49
Communications Equipment Industry
- Max
- 13.54
- Q3
- 8.35
- Median
- 4.08
- Q1
- 2.23
- Min
- 1.02
At 26.49, MSI’s P/B Ratio is at an extreme premium to the Communications Equipment industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.
TYL
5.28
Software Industry
- Max
- 24.98
- Q3
- 12.19
- Median
- 6.54
- Q1
- 3.34
- Min
- 0.38
TYL’s P/B Ratio of 5.28 is within the conventional range for the Software industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.
Valuation at a Glance
| Symbol | MSI | TYL |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 29.63 | 43.37 |
| Price-to-Sales Ratio (TTM) | 5.46 | 5.87 |
| Price-to-Book Ratio (MRQ) | 26.49 | 5.28 |
| Price-to-Free Cash Flow Ratio (TTM) | 24.81 | 22.05 |