Andvari Associates, an investment management company, released its fourth-quarter 2022 investor letter. A copy of the same can be downloaded here. For the full year of 2022, the fund was down 33.8% net of fees compared to the SPDR S&P 500 ETF, which was down 18.2%. In addition, please check the fund’s top five holdings to know its best picks in 2022.
Andvari Associates highlighted stocks like Tyler Technologies, Inc. (NYSE:TYL) in the fourth quarter 2022 investor letter. Headquartered in Plano, Texas, Tyler Technologies, Inc. (NYSE:TYL) software solutions and services provider for the public sector. On January 31, 2023, Tyler Technologies, Inc. (NYSE:TYL) stock closed at $322.77 per share. One-month return of Tyler Technologies, Inc. (NYSE:TYL) was 0.65%, and its shares lost 31.43% of their value over the last 52 weeks. Tyler Technologies, Inc. (NYSE:TYL) has a market capitalization of $13.44 billion.
Andvari Associates made the following comment about Tyler Technologies, Inc. (NYSE:TYL) in its Q4 2022 investor letter:
“Tyler Technologies, Inc. (NYSE:TYL) is the only public company focused on software for state and local governments in North America. Since 1998, Tyler has acquired over 40 software companies. Annual revenues have grown from $50 million in 1998 to now over $1.8 billion while cash flows and profits have grown at a faster rate.
Tyler has few competitors that can match its offerings and service levels. Large, potential competitors stay away Tyler’s market because the sales cycle is measured in years and products require too much customization. Once Tyler wins a client, they usually stick around for decades. Client retention for Tyler is nearly 100%, which gives them highly predictable revenues. Also, Tyler management has a record of effective capital allocation. Finally, Tyler has the wind at its back as local governments continually upgrade decades-old systems. Tyler will steadily increases its market from the low-teens into the 20s and 30s over the next decade.”
Tyler Technologies, Inc. (NYSE:TYL) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 41 hedge fund portfolios held Tyler Technologies, Inc. (NYSE:TYL) at the end of the third quarter, which was 35 in the previous quarter.
We discussed Tyler Technologies, Inc. (NYSE:TYL) in another article and shared TimesSquare Capital Management’s views on the company. In addition, please check out our hedge fund investor letters Q4 2022 page for more investor letters from hedge funds and other leading investors.
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Disclosure: None. This article is originally published at Insider Monkey.
