VOL. XCIV, NO. 247

★ WIDE MOAT STOCKS COMPARISON ★

NO ADVICE

Saturday, January 3, 2026

Stock Comparison

Tyler Technologies, Inc. vs Xero Limited

Compare moat strength, market structure, and segment coverage to understand how each company defends its edge.

Tyler Technologies, Inc.

TYL · New York Stock Exchange

Market cap (USD)$18.9B
Gross margin (TTM)44.2%
Operating margin (TTM)15.4%
Net margin (TTM)13.7%
SectorTechnology
IndustrySoftware - Application
CountryUS
Data as of2025-12-26
Moat score
66/ 100

Weighted average of segment moat scores, combining moat strength, durability, confidence, market structure, pricing power, and market share.

Full stock profile

Dive deeper into Tyler Technologies, Inc.'s moat claims, evidence, and risks.

View TYL analysis

Xero Limited

XRO · Australian Securities Exchange

Market cap (USD)
Gross margin (TTM)
Operating margin (TTM)
Net margin (TTM)
SectorTechnology
Industry
CountryNZ
Data as of2026-01-02
Moat score
71/ 100

Weighted average of segment moat scores, combining moat strength, durability, confidence, market structure, pricing power, and market share.

Full stock profile

Dive deeper into Xero Limited's moat claims, evidence, and risks.

View XRO analysis

Comparison highlights

  • Moat score gap: Xero Limited leads (71 / 100 vs 66 / 100 for Tyler Technologies, Inc.).
  • Segment focus: Tyler Technologies, Inc. has 2 segments (70.7% in Enterprise Software); Xero Limited has 2 segments.
  • Primary market structure: Competitive vs Oligopoly. Pricing power: Moderate vs Moderate.
  • Moat breadth: Tyler Technologies, Inc. has 7 moat types across 2 domains; Xero Limited has 7 across 3.

Primary market context

Tyler Technologies, Inc.

Enterprise Software

Market

Public sector enterprise application software for mission-critical back-office functions (ERP/public administration, courts & justice, public safety, education, property & recording)

Geography

Primarily United States; also Canada and other international locations

Customer

Government agencies and other public entities (state/local/federal), school districts

Role

Vertical software vendor + implementation/services

Revenue share

70.7%

Xero Limited

Core Accounting Subscription Platform

Market

Cloud accounting software for small businesses and their advisors

Geography

Global

Customer

SMB; accountants & bookkeepers

Role

Software platform (SaaS)

Side-by-side metrics

Tyler Technologies, Inc.
Xero Limited
Ticker / Exchange
TYL - New York Stock Exchange
XRO - Australian Securities Exchange
Market cap (USD)
$18.9B
n/a
Gross margin (TTM)
44.2%
n/a
Operating margin (TTM)
15.4%
n/a
Net margin (TTM)
13.7%
n/a
Sector
Technology
Technology
Industry
Software - Application
n/a
HQ country
US
NZ
Primary segment
Enterprise Software
Core Accounting Subscription Platform
Market structure
Competitive
Oligopoly
Market share
5%-7% (reported)
n/a
HHI estimate
n/a
n/a
Pricing power
Moderate
Moderate
Moat score
66 / 100
71 / 100
Moat domains
Demand, Supply
Demand, Network, Financial
Last update
2025-12-26
2026-01-02

Moat coverage

Shared moat types

Suite BundlingData Workflow Lockin

Tyler Technologies, Inc. strengths

Training Org Change CostsProcurement InertiaLong Term ContractsScale Economies Unit CostBrand Trust

Xero Limited strengths

Switching Costs GeneralTwo Sided NetworkBenchmark Pricing PowerInteroperability HubEcosystem Complements

Segment mix

Tyler Technologies, Inc. segments

Full profile >

Enterprise Software

Competitive

70.7%

Platform Technologies

Competitive

29%

Xero Limited segments

Full profile >

Core Accounting Subscription Platform

Oligopoly

n/a

Platform Services (Payments, Payroll, App Ecosystem)

Competitive

n/a

Want the full wide moat stocks list?

Browse the full ranking of wide moat stocks, updated with moat scores and segment context.

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Curation & Accuracy

This directory blends AI‑assisted discovery with human curation. Entries are reviewed, edited, and organized with the goal of expanding coverage and sharpening quality over time. Your feedback helps steer improvements (because no single human can capture everything all at once).

Details change. Pricing, features, and availability may be incomplete or out of date. Treat listings as a starting point and verify on the provider’s site before making decisions. If you spot an error or a gap, send a quick note and I’ll adjust.