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STOCK-BASED COMPENSATION
 6 Months Ended
Sep. 30, 2021
Share-based Payment Arrangement [Abstract]  
STOCK-BASED COMPENSATION STOCK-BASED COMPENSATION
The following table presents stock-based compensation expense:
Three Months Ended September 30,Six Months Ended September 30,
 2021202020212020
Cost of service revenue$2,345 $2,410 $4,313 $4,224 
Cost of other revenue1,203 1,113 2,274 1,900 
Research and development9,458 8,255 18,156 14,800 
Sales and marketing12,724 7,054 27,050 12,793 
General and administrative10,105 6,490 20,629 14,384 
Total$35,835 $25,322 $72,422 $48,101 
Stock Options
The following table presents stock option activity (shares in thousands):
Number of SharesWeighted Average Exercise Price Per ShareWeighted Average Remaining Contractual TermAggregate Intrinsic Value
Outstanding at March 31, 20211,813 $9.46 2.86 years$41,673 
Granted— — 
Exercised(640)8.60 
Cancelled/Forfeited(18)21.94 
Outstanding at September 30, 20211,155 $9.74 2.70 years$15,770 
Vested and expected to vest at September 30, 20211,155 $9.73 2.70 years$15,766 
Exercisable at September 30, 20211,136 $9.57 2.63 years$15,697 
The total intrinsic value of options exercised during the six months ended September 30, 2021 and 2020, was $13.3 million and $0.3 million, respectively.
As of September 30, 2021, there was $0.1 million of total unrecognized compensation cost related to stock options, which is expected to be recognized over a weighted average period of approximately 0.74 years.
Restricted Stock Units (RSUs)
The following table presents RSU activity (shares in thousands):
Number of SharesWeighted Average Grant Date Fair ValueWeighted Average Remaining Contractual TermAggregate Intrinsic Value
Outstanding at March 31, 20218,646 $19.27 1.85 years$280,467 
Granted4,119 26.07 
Vested and released(3,099)18.67 
Forfeited(1,126)20.13 
Outstanding at September 30, 20218,539 $22.66 1.07 years$199,726 
As of September 30, 2021, there was $138.7 million of total unrecognized compensation cost related to RSUs.
Performance Stock Units (PSUs)
The Company has granted PSUs to certain of its executives with vesting that is contingent on continued service and either Company or market performance. PSUs issued during the three and six months ended September 30, 2021, consist of three tranches: the first tranche vests on the 1st anniversary and is based on the Non-GAAP Gross Profit of the Company; the remaining two tranches vest on the 2nd and 3rd anniversaries, respectively, and are based on the Total Shareholder Return ("TSR") of the Company, as measured relative to a specified market index during the specified periods. For the first tranche, a range of 90% to 110% attainment of the target Non-GAAP Gross Profit over the vesting period will result in a range from 0% to 200% of the target number of shares being earned. For the awards based on TSR, a 2x multiplier will be applied for each percentage point of positive or negative relative TSR over the specified vesting periods, such that the number of shares of common stock earned will increase or decrease by 2% of the target number of shares, subject to a maximum of 200% of the target number of shares. In the event that the Company’s relative TSR performance is less than negative 30%, relative to the specified index, no shares will be earned for the applicable performance period. The amount of compensation expense related to the first tranche is based on the estimated grant date fair value and probable attainment of the performance target as of the balance sheet date. The amount of compensation expense related to the second and third tranches is determined based on the estimated fair value per the Monte Carlo simulation performed as of the grant date.
The following table presents the per share fair values of the first tranche based on the closing price of the Company's common stock on the grant date:
Per share fair values$24.21-$25.78
The following table presents the estimated grant date fair values, and valuation assumptions used in the Monte Carlo pricing model, of the second and third tranches:
Second tranche per share fair values$27.66-$33.32
Third tranche per share fair values$29.59-$34.48
Valuation assumptions:
Expected volatility58.7 %-59.7%
Risk-free interest rates0.3 %-0.4%
Dividend rate—%
The following table presents PSU activity (shares in thousands):
Number of SharesWeighted Average Grant Date Fair ValueWeighted Average Remaining Contractual TermAggregate Intrinsic Value
Outstanding at March 31, 20211,576 $27.33 1.24 years$51,116 
Granted497 30.41 
Granted for performance achievement1
20 16.12 
Vested and released(206)16.12 
Cancelled/Forfeited(605)22.80 
Outstanding at September 30, 20211,282 $33.24 1.32 years$29,986 
1 Represents additional PSUs awarded as a result of the achievement of performance goals above the performance targets established at grant.
As of September 30, 2021, there was $24.8 million of total unrecognized compensation cost related to PSUs.
Employee Stock Purchase Plan (ESPP)
As of September 30, 2021, there was approximately $3.6 million of unrecognized cost related to employee stock purchases. This cost is expected to be recognized over a weighted average period of 0.6 years. As of September 30, 2021, a total of 2,522,952 shares were available for issuance under the ESPP.
Salary and Bonus Stock Program
In March 2021, the Company offered its employees an opportunity to receive a portion of their base cash salary and/or cash bonus for fiscal 2022 in shares of the Company's common stock. Participants that choose to receive stock in place of base cash salary will be subject to reduced cash payroll starting July 2021 through March 2022. The number of shares received by the employee is based on the lower of the closing price of the common stock as of one of two specified look-back dates.
The estimated fair value of the shares issued has two components: 1) the value of the base cash salary and/or cash bonus opted to be received as shares, and 2) the grant date fair value of the look-back feature. The estimated fair value of the stock awards will be recognized in stock based compensation expense over the requisite service period of the participants, which may differ from the period in which their original cash compensation is earned. The look-back features are valued as options using the Black-Scholes model, applied to the total number of shares would have been granted under the program based on the closing price of our common stock on the grant date.
The following table presents the estimated fair value on the date of grant of each of the look-back features and the assumptions used in the Black-Scholes pricing model:
Fair value of look-back options$3.88-$8.24
Valuation assumptions:
Expected volatility58.7%
Risk-free interest rates0.05 %-0.07%
Expected terms (in years)0.38-1.21
Dividend rate—%
The risk-free rates were determined based on published treasury rates over terms consistent with those of the share exchange program. The volatility rate was determined based on historic volatility of the Company's stock and is consistent with the rate used for valuation of the PSU awards granted in June 2021.
As of September 30, 2021, there was $4.5 million of total unrecognized compensation cost related to the salary and bonus stock program.
Stock Repurchases
There were no stock repurchases during the six months ended September 30, 2021 and September 30, 2020.