Cipher Mining (NASDAQ:CIFR) and Tyler Technologies (NYSE:TYL) Head to Head Review

Tyler Technologies (NYSE:TYL) and Cipher Mining (NASDAQ:CIFR) are both technology companies, but which is the superior investment? We will compare the two companies based on the strength of their risk, analyst recommendations, earnings, valuation, profitability, dividends and institutional ownership.

Institutional and Insider Ownership

93.3% of Tyler Technologies shares are owned by institutional investors. Comparatively, 12.3% of Cipher Mining shares are owned by institutional investors. 1.1% of Tyler Technologies shares are owned by insiders. Comparatively, 3.1% of Cipher Mining shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Earnings & Valuation

This table compares Tyler Technologies and Cipher Mining”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Tyler Technologies	$2.33 billion	5.78	$315.60 million	$7.54	43.69
Cipher Mining	$223.94 million	25.06	-$822.24 million	($2.86)	-4.73

Tyler Technologies has higher revenue and earnings than Cipher Mining. Cipher Mining is trading at a lower price-to-earnings ratio than Tyler Technologies, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of recent recommendations for Tyler Technologies and Cipher Mining, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Tyler Technologies	0	5	11	1	2.76
Cipher Mining	1	3	16	1	2.81

Tyler Technologies currently has a consensus price target of $450.28, suggesting a potential upside of 36.68%. Cipher Mining has a consensus price target of $28.86, suggesting a potential upside of 113.47%. Given Cipher Mining’s stronger consensus rating and higher possible upside, analysts clearly believe Cipher Mining is more favorable than Tyler Technologies.

Profitability

This table compares Tyler Technologies and Cipher Mining’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Tyler Technologies	13.36%	11.15%	7.14%
Cipher Mining	-585.75%	-156.28%	-21.29%

Volatility and Risk

Tyler Technologies has a beta of 0.85, indicating that its share price is 15% less volatile than the S&P 500. Comparatively, Cipher Mining has a beta of 3.2, indicating that its share price is 220% more volatile than the S&P 500.

Summary

Tyler Technologies beats Cipher Mining on 8 of the 14 factors compared between the two stocks.

About Tyler Technologies

Tyler Technologies, Inc. provides integrated information management solutions and services for the public sector. It operates in two segments, Enterprise Software and Platform Technologies. The company offers platform and transformative technology solutions, including cybersecurity for government agencies; data and insights solutions; digital solutions that helps workers and policymakers to share, communicate, and leverage data; payments solutions, such as billing, presentment, merchant onboarding, collections, reconciliation, and disbursements; platform technologies, an application development platform that enables government workers to build solutions and applications; and outdoor recreation solutions, including campsite reservations, activity registrations, licensing sales and renewals, and real-time data for conservation and park management. It also provides public administration solutions, such as civic services; financial applications with human resources, revenue management, tax billing, utilities, asset management, and payment processing; property and recording service that manages appraisal services, valuation, tax billing and collections, assessment administration, and land and official records; and permitting, licensing, and regulatory management solutions. In addition, the company offers courts and public safety solutions; school ERP and student transportation solutions for K-12 schools; and health and human services solutions. Further, the company offers software as a service arrangements and electronic document filing solutions for courts; software and hardware installation, data conversion, training, product modification, and maintenance and support services; and property appraisal outsourcing services for taxing jurisdictions. Tyler Technologies, Inc. has a strategic collaboration agreement with Amazon Web Services for cloud hosting services. The company was founded in 1966 and is headquartered in Plano, Texas.

About Cipher Mining

Cipher Mining Inc., together with its subsidiaries, engages in the development and operation of industrial scale bitcoin mining data centers in the United States. The company was incorporated in 2020 and is based in New York, New York. Cipher Mining Inc. operates as a subsidiary of Bitfury Holding B.V.