Employee Incentive Plans

12 Months Ended

Dec. 31, 2023

Share-Based Payment Arrangement [Abstract]

Employee Incentive Plans

Employee Incentive Plans

The Company’s equity incentive plans provide for granting awards, including RSUs, PBRSUs, cash awards and stock options to employees, officers and directors.

Common Stock Reserved for Future Issuance

Shares of common stock reserved for future issuance was as follows:

December 31,	2023	2022
Available for future RSU, PBRSU and stock option grants	22,732,012	17,473,925
Unvested RSUs, PBRSUs and stock options outstanding	9,338,246	11,676,962
Available for ESPP	7,484,043	6,302,187
Total reserved for future issuance	39,554,301	35,453,074

Stock-based Compensation

Stock-based compensation expense, included in “Compensation and benefits” expense on the Income Statement, was as follows for the periods presented:

Year Ended December 31,	2023		2022		2021
RSUs and PBRSUs	$	61,619	$	74,334	$	70,935
Stock options	—		46		599
Stock-based compensation expense, gross	61,619		74,380		71,534
Less: Capitalized stock-based compensation expense	9,230		8,018		4,383
Stock-based compensation expense, net	$	52,389	$	66,362	$	67,151

Restricted Stock Units

The following table summarizes the activities for the Company’s RSUs:

	Number of Units	Weighted- Average Grant Date Fair Value
Unvested at December 31, 2022	8,672,626	$	12.94
Granted	7,138,085	$	7.57
Vested	(5,575,341)	$	11.44
Forfeited/expired	(3,235,539)	$	11.28
Unvested at December 31, 2023	6,999,831	$	9.42

During the year ended December 31, 2023, the Company granted 7,138,085 RSUs with an aggregate fair value of $54.0 million.

As of December 31, 2023, there was $59.4 million of unrecognized compensation cost related to unvested RSUs, which is expected to be recognized over a weighted-average period of approximately 1.8 years, subject to any forfeitures.

Performance-based Restricted Stock Units

The Company’s outstanding PBRSU awards each have a market-based performance metric with a three-year performance period, following which any earned portion is immediately vested. For these PBRSU awards, the compensation expense of the award is fixed at the time of grant (incorporating the probability of achieving the market-based metrics) and expensed over the performance period.

The following table summarizes the activities for the Company’s PBRSUs:

	Number of Units	Weighted- Average Grant Date Fair Value
Unvested at December 31, 2022	1,754,898	$	11.19
Granted	807,499	$	7.15
Vested	(870,766)	$	4.22
Forfeited/expired	(221,818)	$	12.37
Unvested at December 31, 2023	1,469,813	$	12.60

During the year ended December 31, 2023, the Company granted 807,499 PBRSUs with an aggregate fair value of $5.8 million.

As of December 31, 2023, there was $5.9 million of unrecognized compensation cost related to unvested PBRSUs, which is expected to be recognized over a weighted-average period of approximately 1.4 years, subject to any forfeitures.

Stock Options

The following table summarizes the activities for the Company’s stock options:

	Number of Options	Weighted-Average Exercise Price Per Share		Weighted-Average Remaining Contractual Life (in years)	Aggregate Intrinsic  Value (1) (in thousands)
Outstanding at December 31, 2022	1,249,451	$	37.11
Exercised	(35,473)	$	5.30
Forfeited/Expired	(345,376)	$	35.57
Outstanding at December 31, 2023	868,602	$	39.02	1.2	$	15
Exercisable at December 31, 2023	868,602	$	39.02	1.2	$	15

(1)    The aggregate intrinsic value is calculated as the difference between the exercise price of the underlying awards and the Company’s closing stock price of $8.74 as reported on the New York Stock Exchange on December 29, 2023.

The aggregate intrinsic value of options exercised was $0.1 million, $1.7 million and $5.1 million for the years ended December 31, 2023, 2022 and 2021, respectively. The total fair value of stock options vested for both the years ended December 31, 2022 and 2021 was $0.3 million. As of December 31, 2022, all stock options were fully vested and there was no unrecognized compensation cost remaining. In addition, there were no stock options granted during the years ended December 31, 2023, 2022 and 2021.