Stockholders' Equity

6 Months Ended

Jun. 30, 2022

Equity [Abstract]

Stockholders' Equity

Note 12 — Stockholders’ Equity

The components of stockholders’ equity are as follows (in thousands):

	Three Months Ended June 30, 2022
	Common Stock								Treasury Stock					Accumulated
	Number of Shares		$0.01ParValue		Additional Paid-in Capital		Retained Earnings		Number of Shares		Cost			Other Comprehensive Income (Loss)			Total Equity
Balance at March 31, 2022		24,143	$	241	$	251,001	$	156,973		5,202	$	(201,414	)	$	(4,371	)	$	202,430
Issuance of common stock under    stock plans, including tax effects		16		1		99		—		—		—			—			100
Repurchases of common stock		—		—		—		—		103		(5,653	)		—			(5,653	)
Stock-based compensation expense		—		—		3,837		—		—		—			—			3,837
Net income		—		—		—		13,874		—		—			—			13,874
Net change in interest rate swap,    net of tax		—		—		—		—		—		—			68			68
Net change in marketable investments,    net of tax		—		—		—		—		—		—			(29	)		(29	)
Foreign currency translation		—		—		—		—		—		—			(4,528	)		(4,528	)
Balance at June 30, 2022		24,159	$	242	$	254,937	$	170,847		5,305	$	(207,067	)	$	(8,860	)	$	210,099

	Three Months Ended June 30, 2021
	Common Stock								Treasury Stock					Accumulated
	Number of Shares		$0.01 Par Value		Additional Paid-in Capital		Retained Earnings		Number of Shares		Cost			Other Comprehensive Income (Loss)			Total Equity
Balance at March 31, 2021		23,755	$	238	$	234,752	$	131,937		4,631	$	(171,889	)	$	(2,801	)	$	192,237
Issuance of common stock under    stock plans, including tax effects		25		—		336		—		—		—			—			336
Repurchases of common stock		—		—		—		—		63		(2,673	)		—			(2,673	)
Stock-based compensation expense		—		—		2,397		—		—		—			—			2,397
Net income		—		—		—		8,343		—		—			—			8,343
Net change in interest rate swap,    net of tax		—		—		—		—		—		—			139			139
Foreign currency translation		—		—		—		—		—		—			723			723
Balance at June 30, 2021		23,780	$	238	$	237,485	$	140,280		4,694	$	(174,562	)	$	(1,939	)	$	201,502

	Six Months Ended June 30, 2022
	Common Stock								Treasury Stock					Accumulated
	Number of Shares		$0.01 Par Value		Additional Paid-in Capital		Retained Earnings		Number of Shares		Cost			Other Comprehensive Income (Loss)			Total Stockholders' Equity
Balance at December 31, 2021		24,085	$	241	$	245,985	$	152,825		5,027	$	(191,955	)	$	(3,189	)	$	203,907
Issuance of common stock under    stock plans, including tax effects		74		1		1,821		—		—		—			—			1,822
Repurchases of common stock		—		—		—		—		278		(15,112	)		—			(15,112	)
Stock-based compensation expense		—		—		7,131		—		—		—			—			7,131
Net income		—		—		—		18,022		—		—			—			18,022
Net change in interest rate swap,    net of tax		—		—		—		—		—		—			264			264
Net change in marketable investments,    net of tax		—		—		—		—		—		—			(93	)		(93	)
Foreign currency translation		—		—		—		—		—		—			(5,842	)		(5,842	)
Balance at June 30, 2022		24,159	$	242	$	254,937	$	170,847		5,305	$	(207,067	)	$	(8,860	)	$	210,099

	Six Months Ended June 30, 2021
	Common Stock								Treasury Stock					Accumulated
	Number of Shares		$0.01 Par Value		Additional Paid-in Capital		Retained Earnings		Number of Shares		Cost			Other Comprehensive Income (Loss)			Total Stockholders' Equity
Balance at December 31, 2020		23,648	$	236	$	230,128	$	127,981		4,631	$	(171,889	)	$	(690	)	$	185,766
Issuance of common stock under    stock plans, including tax effects		132		2		2,468		—		—		—			—			2,470
Repurchases of common stock		—		—		—		—		63		(2,673	)		—			(2,673	)
Stock-based compensation expense		—		—		4,889		—		—		—			—			4,889
Net income		—		—		—		12,299		—		—			—			12,299
Net change in interest rate swap,    net of tax		—		—		—		—		—		—			329			329
Foreign currency translation		—		—		—		—		—		—			(1,578	)		(1,578	)
Balance at June 30, 2021		23,780	$	238	$	237,485	$	140,280		4,694	$	(174,562	)	$	(1,939	)	$	201,502

Equity Plans

Restricted stock unit activity for the six months ended June 30, 2022 is presented below (in thousands, except per share data):

				Weighted-
				Average
	Number of			Grant Date
	Shares			Fair Value
Unvested at December 31, 2021		634		$	42.45
Granted		319			50.96
Vested		(25	)		39.72
Forfeited		(26	)		44.31
Unvested at June 30, 2022		902		$	45.48

Stock option activity for the six months ended June 30, 2022 is presented below (in thousands, except per share data and contractual term):

				Weighted -		Weighted -
				Average		Average
				Exercise		Remaining		Aggregate
	Number			Price Per		Contractual		Intrinsic
	of Shares			Share		Term (in years)		Value
Outstanding at December 31, 2021		114		$	35.52
Exercised		(12	)		34.66
Forfeited		(2	)		36.65
Outstanding at June 30, 2022		100		$	35.60		2.38	$	1,222
Vested and Exercisable at June 30, 2022		100		$	35.60		2.38	$	1,222

No stock options were granted during the six months ended June 30, 2022.

In May 2022, stockholders of the Company approved an amendment to the Company’s Second Amended and Restated Employee Stock Purchase Plan, which provided for an additional 600,000 shares of Common Stock, par value $0.01 per share, to be granted under the plan.

Stock-Based Compensation

Forrester recognizes the fair value of stock-based compensation over the requisite service period of the individual grantee, which generally equals the vesting period. Stock-based compensation was recorded in the following expense categories on the Consolidated Statements of Income (in thousands):

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2022		2021		2022		2021
Cost of services and fulfillment	$	2,203	$	1,401	$	4,129	$	2,835
Selling and marketing		752		399		1,385		848
General and administrative		882		597		1,617		1,206
Total	$	3,837	$	2,397	$	7,131	$	4,889

Forrester utilizes the Black-Scholes valuation model for estimating the fair value of shares subject to purchase under the employee stock purchase plan, which were valued using the following assumptions:

	Three Months Ended						Six Months Ended
	June 30,						June 30,
	2022			2021			2022			2021
Average risk-free interest rate		0.86	%		0.05	%		0.86	%		0.05	%
Expected dividend yield		0.0	%		0.0	%		0.0	%		0.0	%
Expected life	0.5 Years			0.5 Years			0.5 Years			0.5 Years
Expected volatility		24	%		35	%		24	%		35	%
Weighted average fair value	$	11.02		$	11.50		$	11.02		$	11.50

Treasury Stock

As of June 30, 2022, Forrester’s Board of Directors had authorized an aggregate $585.0 million to purchase common stock under its stock repurchase program. The shares repurchased may be used, among other things, in connection with Forrester’s equity incentive and purchase plans. During the three and six months ended June 30, 2022, the Company repurchased approximately 0.1 million shares and 0.3 million shares of common stock at an aggregate cost of approximately $5.7 million and $15.1 million, respectively. During the three and six months ended June 30, 2021, the Company repurchased approximately 0.1 million shares of common stock at an aggregate cost of approximately $2.7 million. From the inception of the program through June 30, 2022, the Company repurchased 17.0 million shares of common stock at an aggregate cost of $510.0 million.