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Stock-Based Compensation
 9 Months Ended
Sep. 30, 2022
Share-Based Payment Arrangement [Abstract]  
Stock-Based Compensation Stock-Based Compensation
The following table summarizes the stock-based compensation expense recognized under all of the Company’s stock plans for the three and nine months ended September 30, 2022 and 2021, and associated with the issuance of restricted shares of common stock and vesting of stock options, which are included in general and administrative expenses in the accompanying consolidated statements of operations (in thousands):

Three Months Ended
September 30,		Six Months Ended
September 30,
2022202120222021
Stock options$947 $602 $2,868 $1,794 
Restricted stock2,555 818 7,609 2,528 
Total stock-based compensation expense$3,502 $1,420 $10,477 $4,322 
Unrecognized compensation expense related to total share-based payments outstanding as of September 30, 2022 was $23.2 million.
Options
The Company’s outstanding stock options consisted of the following:
Shares
Weighted
Average
Exercise Price
Weighted
Average
Remaining
Contractual
Term
(Years)
Aggregate
Intrinsic
Value
(in millions)
Options outstanding at January 1, 2022813,965 $22.74 3.20$41.6 
Options granted
87,488 51.21 — — 
Options exercised
(41,603)17.81 — 1.0 
Options outstanding at September 30, 2022859,850 $25.90 2.44$16.5 
Options exercisable at September 30, 2022639,622 $12.07 1.56$15.5 
During the nine months ended September 30, 2022, options were exercised for 41,603 shares of the Company’s common stock, resulting in proceeds of $0.7 million. During the nine months ended September 30, 2021, options were exercised for 40,000 shares of the Company’s common stock, resulting in proceeds of $0.2 million.
During the nine months ended September 30, 2022, the Company granted 87,488 stock options to certain ApolloMed employees and Board members. The options granted during the nine months ended September 30, 2022 were recognized at fair value, as determined using the Black-Scholes option pricing model as follows:
September 30, 2022
Expected term
1.50 years - 2.25 years
Expected volatility
71.47% - 82.05%
Risk-free interest rate
1.02% - 2.47%
Market value of options
$17.47 - $23.42
Restricted Stock
The Company grants restricted stock to officers and employees, which are earned based on service conditions. The grant date fair value of the restricted stock is that day’s closing market price of the Company’s common stock. During the nine months ended September 30, 2022, the Company granted restricted stock totaling 538,037 shares, including 295,721 shares of restricted stock with performance conditions, with a weighted average grant date fair value of $41.95. Shares of restricted stock with performance conditions are recognized to the extent the performance conditions are probable of being achieved. The grant date fair value of restricted stock and restricted stock with performance conditions that are probable of being achieved were $10.7 million and will be recognized on a straight-line basis over the awards’ vesting period.
Warrants
The Company’s outstanding warrants consisted of the following:
Shares
Weighted
Average
Exercise Price
Weighted
Average
Remaining
Contractual
Term
(Years)
Aggregate
Intrinsic
Value
(in millions)
Warrants outstanding at January 1, 20221,001,740 10.49 0.9463.1 
Warrants granted— — — — 
Warrants exercised(281,742)10.49 — 10.1 
Warrants expired/forfeited— — — — 
Warrants outstanding at September 30, 2022719,998 $10.49 0.19$20.5 

Exercise Price Per Share
Warrants
Outstanding
Weighted
Average
Remaining
Contractual Life
Warrants
Exercisable
Weighted
Average
Exercise Price
Per Share
$10.00 370,2800.19370,280 $10.00 
11.00 349,7180.19349,718 $11.00 
$ 10.00 – 11.00
719,998 0.19719,998 $10.49 
During the nine months ended September 30, 2022 and 2021, common stock warrants were exercised for 281,742 and 624,760 shares of the Company’s common stock, respectively, which resulted in proceeds of approximately $2.0 million and $6.4 million, respectively. The exercise price ranged from $10.00 to $11.00 per share for the exercises during the nine months ended September 30, 2022, and $9.00 to $11.00 per share for the exercises during the nine months ended September 30, 2021, respectively.