Stock Plans and Stock-Based Compensation (Tables)

3 Months Ended

Mar. 31, 2024

Share-Based Payment Arrangement [Abstract]

Schedule of Assumptions Used in Determining Fair Value of Shares Issuable

The fair value of shares issuable under the 2016 ESPP is determined using the Black-Scholes option pricing model with the following weighted average assumptions:

	Three Months Ended March 31, 2023
Employee Stock Purchase Plan:
Expected term (in years) (1)	0.50
Expected volatility (2)	60%
Risk-free interest rate (3)	5.18%
Dividend rate (4)	0%

(1)The expected term represents the contractual term of the 2016 ESPP;

(2)The expected volatility of the Company’s common stock on the date of grant is based on the weighted average of the Company’s historical volatility as a public company, the implied volatility of publicly-traded options on the Company’s common stock and the volatilities of publicly traded peer companies that are reasonably comparable to the Company’s own operations;

(3)The risk-free interest rate is based on the U.S. Treasury yield curve in effect at the time of grant for zero coupon U.S. Treasury notes with maturities approximately equal to the expected term of the grant; and

(4)The expected dividend yield is assumed to be zero as the Company has never paid dividends and has no current plans to pay any dividends on the Company’s common stock.

Schedule of Stock Option Activity

The following table summarizes the Company’s stock option activity:

	Stock options outstanding			Weighted average exercise price
Outstanding at December 31, 2023		63,870		$	30.83
Exercised		(2,000	)		26.50
Outstanding at March 31, 2024		61,870			30.97

Schedule of Stock Options Outstanding and Exercisable

Stock options outstanding and exercisable are as follows:

	As of March 31, 2024
	Number of shares		Remaining contractual life (years)		Weighted- average exercise price
Outstanding and exercisable		61,870		3.44	$	30.97

Summary of RSU and PSU Activity

The following table summarizes the Company’s RSU and PSU activity:

	Number of Shares
Outstanding at December 31, 2023		3,069,904
Granted		349,987
Vested		(301,591	)
Forfeited		(125,848	)
Outstanding at March 31, 2024		2,992,452

Schedule of Assumptions used in Monte Carlo Simulation Model

The fair value of the market-based grants was determined using the Monte-Carlo simulation with the following assumptions:

	Three Months Ended March 31, 2023
Market-Based Grants:
Expected term (in years)	0.48
Expected volatility	57%
Risk-free interest rate	4.88%
Dividend rate	0%

Summary of Stock-Based Compensation Expense

The Company recorded the total stock-based compensation expense as follows (in thousands):

	Three Months Ended March 31,
	2024		2023
Cost of revenue	$	1,287	$	1,655
Sales and marketing		4,067		4,747
Research and development		2,639		3,726
General and administrative		3,419		3,321
Total	$	11,412	$	13,449