Common Stock and Stockholders' Equity (Tables)
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9 Months Ended |
Sep. 30, 2023 |
Share-Based Payment Arrangement [Abstract] |
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Stock Option Activity |
Stock option activity under the Plans was as follows (in thousands, except share and per share amounts and years):
| | | | | | | | | | | | | | | | | | | | | | | | | Number of Shares Outstanding | | Weighted- Average Exercise Price | | Weighted- Average Remaining Contractual Life in Years | | Aggregate Intrinsic Value | Balance at December 31, 2022 | 4,243,934 | | $ | 27.79 | | | 6.10 | | $ | 19,541 | | Stock option grants | 87,554 | | $ | 24.27 | | | N/A | | | Stock options exercised | (171,888) | | $ | 8.28 | | | N/A | | $ | 2,993 | | Stock options forfeited | (116,323) | | $ | 50.27 | | | N/A | | | Balance at September 30, 2023 | 4,043,277 | | $ | 27.89 | | | 5.53 | | $ | 9,600 | | Vested or expected to vest at September 30, 2023 | 4,043,277 | | $ | 27.89 | | | 5.53 | | $ | 9,600 | | Exercisable at September 30, 2023 | 3,053,345 | | $ | 25.49 | | | 4.47 | | $ | 9,600 | |
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Assumptions Used for Estimate of Fair Value of Options |
The fair value of each option grant was estimated on the date of grant using the Black-Scholes option-pricing model with the following assumptions and fair value per share:
| | | | | | | | | | | | | Nine Months Ended September 30, | | 2023 | | 2022 | Volatility | 65.58% - 68.22% | | 56.69% - 67.95% | Expected term (in years) | 4.3 | | 4.1 | Risk-free interest rate | 3.68% - 4.34% | | 1.13% - 3.46% | Dividend yield | 0% | | 0% | Weighted-average fair value of underlying stock options | $13.42 | | $17.72 |
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Restricted Stock Units Activity |
RSU activity under the Plans was as follows:
| | | | | | | | | | | | | RSUs | | Weighted-Average Grant Date Fair Value Per RSU | Balance at December 31, 2022 | 6,481,669 | | $ | 63.63 | | Granted | 7,121,431 | | $ | 26.56 | | Vested and issued | (2,448,261) | | $ | 71.64 | | Forfeited | (1,094,153) | | $ | 50.48 | | Balance at September 30, 2023 | 10,060,686 | | $ | 36.64 | | Vested and unissued at September 30, 2023 | 43,118 | | $ | 56.25 | | Non-vested at September 30, 2023 | 10,017,568 | | $ | 36.67 | |
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Performance-Based Units Activity |
PSU activity under the Plans was as follows:
| | | | | | | | | | | | | Shares | | Weighted-Average Grant Date Fair Value Per PSU | Balance at December 31, 2022 | 629,672 | | $ | 99.07 | | Granted | 1,297,725 | | $ | 26.90 | | Vested and issued | (117,966) | | $ | 153.96 | | Forfeited | (27,049) | | $ | 46.52 | | Performance adjustment (1) | (283,282) | | $ | 0.00 | | Balance at September 30, 2023 | 1,499,100 | | $ | 37.00 | | Vested and unissued at September 30, 2023 | 0 | | $ | 0.00 | | Non-vested at September 30, 2023 | 1,499,100 | | $ | 37.00 | |
(1)Based on the Company's 2022 results, PSUs were attained at rates ranging from 0% to 86.25% of the target award.
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Total Compensation Costs for Stock-Based Awards |
Total compensation costs for stock-based awards were recorded as follows (in thousands):
| | | | | | | | | | | | | | | | | | | | | | | | | Three Months Ended September 30, | | Nine Months Ended September 30, | | 2023 | | 2022 | | 2023 | | 2022 | Cost of revenue (exclusive of depreciation and amortization, which is shown separately) | $ | 1,464 | | | $ | 675 | | | $ | 4,060 | | | $ | 4,994 | | Advertising and marketing | 4,399 | | | 3,614 | | | 11,527 | | | 10,523 | | Sales | 9,110 | | | 11,064 | | | 27,055 | | | 33,845 | | Technology and development | 14,566 | | | 16,936 | | | 42,984 | | | 50,116 | | General and administrative | 23,406 | | | 23,373 | | | 69,082 | | | 67,620 | | Total stock-based compensation expense | 52,945 | | | 55,662 | | | 154,708 | | | 167,098 | | Capitalized stock-based compensation expense | 5,028 | | | 4,561 | | | 14,606 | | | 13,404 | | Total stock-based compensation | $ | 57,973 | | | $ | 60,223 | | | $ | 169,314 | | | $ | 180,502 | |
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