Stock-Based Incentive Plans (Tables)
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12 Months Ended |
Dec. 31, 2019 |
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| Share-based Payment Arrangement [Abstract] |
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| Schedule of Allocation of Share Based Compensation Costs by Expense Category |
Amounts of stock-based compensation recognized on our consolidated statements of income (loss), by expense category, are as follows (in thousands): | | | | | | | | | | | | | | | | Year Ended December 31, | | | 2019 | | 2018 | | 2017 | Cost of goods sold | | $ | 1,343 |
| | $ | 1,060 |
| | $ | 450 |
| Selling, general and administrative | | 25,588 |
| | 19,393 |
| | 16,118 |
| Research and development | | 5,622 |
| | 4,510 |
| | 1,119 |
| Stock-based compensation from continuing operations | | 32,553 |
| | 24,963 |
| | 17,687 |
| Stock-based compensation from discontinued operations | | — |
| | 1,960 |
| | 1,375 |
| Total stock-based compensation expense | | 32,553 |
| | 26,923 |
| | 19,062 |
| Income tax benefit | | 6,590 |
| | 6,443 |
| | 4,236 |
| Total expense, net of income tax benefit | | $ | 25,963 |
| | $ | 20,480 |
| | $ | 14,826 |
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| Schedule of Allocation of Share-Based Compensation Costs by Type of Arrangement |
Amounts of stock-based compensation expense recognized on our consolidated statements of income (loss), by type of arrangement, are as follows (in thousands): | | | | | | | | | | | | | | | | Year Ended December 31, | | | 2019 | | 2018 | | 2017 | Service-based stock appreciation rights | | $ | 10,349 |
| | $ | 8,282 |
| | $ | 6,916 |
| Service-based restricted stock units | | 14,113 |
| | 10,622 |
| | 8,223 |
| Market performance-based restricted stock units | | 2,900 |
| | 2,357 |
| | 732 |
| Operating performance-based restricted stock units | | 3,918 |
| | 3,702 |
| | 1,816 |
| Employee stock purchase plan | | 1,273 |
| | — |
| | — |
| Total stock-based compensation expense from continuing operations | | $ | 32,553 |
| | $ | 24,963 |
| | $ | 17,687 |
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| Schedule of Unrecognized Compensation Cost, Nonvested Awards |
Amounts of stock-based compensation cost not yet recognized related to non-vested awards, including awards assumed or issued, as of December 31, 2019, are as follows (in thousands): | | | | | | | | | | Unrecognized Compensation Cost | | Weighted Average Remaining Vesting Period (in years) | Service-based stock appreciation rights | | $ | 25,508 |
| | 2.67 | Service-based restricted stock unit awards | | 33,456 |
| | 2.73 | Performance-based restricted stock unit awards | | 10,587 |
| | 1.65 | Total stock-based compensation cost unrecognized | | $ | 69,551 |
| | 2.35 |
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| Schedule of Stock Options Valuation Assumptions |
The following table lists the assumptions we utilized as inputs to the Black-Scholes model: | | | | | | | | | | Year Ended December 31, | | | 2019 | | 2018 | | 2017 | Dividend yield (1) | | — | | — | | — | Risk-free interest rate (2) | | 1.4% - 2.2% | | 2.5% - 2.9% | | 1.7% - 2.2% | Expected option term - in years (3) | | 5.0 - 5.1 | | 5.0 - 5.1 | | 4.6 - 5.2 | Expected volatility at grant date (4) | | 32.2% - 35.7% | | 29.2% - 29.9% | | 29.6% - 30.4% |
| | (1) | We have not paid dividends and no future dividends have been approved. |
| | (2) | We use yield rates on U.S. Treasury securities for a period that approximates the expected term of the awards granted to estimate the risk-free interest rate. |
| | (3) | We estimated the expected term of the awards granted using historic data of actual time elapsed between the date of grant and the exercise or forfeiture of options or SARs for employees. |
(4) We determine the expected volatility of the awards based on historical volatility.
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| Schedule of Stock Option Activity |
The following tables detail the activity for service-based SARs and stock option awards: | | | | | | | | | | | | | | | SARs and Stock Options | | Number of Optioned Shares | | Wtd. Avg. Exercise Price per Share | | Wtd. Avg. Remaining Contractual Term (years) | | Aggregate Intrinsic Value (in thousands) (1) | Outstanding — at December 31, 2018 | | 1,941,587 |
| | $ | 67.33 |
| | | | | Granted | | 591,845 |
| | 96.60 |
| | | | | Exercised | | (121,534 | ) | | 61.50 |
| | | | | Forfeited | | (171,282 | ) | | 83.44 |
| | | | | Expired | | (25,560 | ) | | 72.60 |
| | | | | Outstanding — at December 31, 2019 | | 2,215,056 |
| | 74.41 |
| | 7.0 | | $ | 22,195 |
| Fully vested and exercisable — end of year | | 951,797 |
| | 61.45 |
| | 5.2 | | $ | 15,495 |
| Fully vested and expected to vest — end of year (2) | | 2,173,525 |
| | $ | 74.08 |
| | 7.0 | | $ | 22,117 |
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| | (1) | The aggregate intrinsic value of SARs and options is based on the difference between the fair market value of the underlying stock at December 31, 2019, using the market closing stock price, and exercise price for in-the-money awards. |
| | (2) | Includes the impact of expected future forfeitures. |
| | | | | | | | | | | | | | | | Year Ended December 31, | | | 2019 | | 2018 | | 2017 | Weighted average grant date fair value of SARs granted during the year (per share) | | $ | 31.22 |
| | $ | 28.13 |
| | $ | 17.19 |
| Aggregate intrinsic value of SARs and stock options exercised during the year (in thousands) | | $ | 2,064 |
| | $ | 27,281 |
| | $ | 5,462 |
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| Summary of Restricted Stock Service-Based Activity |
The following tables detail the activity for service-based RSU awards: | | | | | | | | | RSUs | | Number of Shares | | Wtd. Avg. Grant Date Fair Value | Non-vested shares at December 31, 2018 | | 450,297 |
| | $ | 78.70 |
| Granted | | 294,460 |
| | $ | 92.54 |
| Vested | | (147,969 | ) | | $ | 74.53 |
| Forfeited | | (72,955 | ) | | $ | 92.62 |
| Non-vested shares at December 31, 2019 | | 523,833 |
| | $ | 84.98 |
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| | | | | | | | | | | | | | | | Year Ended December 31, | | | 2019 | | 2018 | | 2017 | Weighted average grant date fair value of service-based RSUs issued during the year (per share) | | $ | 92.54 |
| | $ | 95.63 |
| | $ | 61.37 |
| Aggregate fair value of RSUs that vested during the year (in thousands) | | $ | 12,710 |
| | $ | 11,505 |
| | $ | 9,966 |
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| Summary of Performance-Based Restricted Stock and Restricted Stock Unit Activity |
The following tables detail the activity for performance-based and market-based RSU awards: | | | | | | | | | Performance-based and market-based RSUs | | Number of Shares | | Wtd. Avg. Grant Date Fair Value | Non-vested shares at December 31, 2018 | | 295,364 |
| | $ | 56.48 |
| Granted | | 88,453 |
| | $ | 98.50 |
| Vested | | (69,646 | ) | | $ | 41.52 |
| Forfeited | | (28,502 | ) | | $ | 75.97 |
| Non-vested shares at December 31, 2019 | | 285,669 |
| | $ | 71.02 |
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| | | | | | | | | | | | | | | | Year Ended December 31, | | | 2019 | | 2018 | | 2017 | Weighted average grant date fair value of performance and market-based restricted share units granted during the year (per share) | | $ | 98.50 |
| | $ | 95.62 |
| | $ | 42.11 |
| Aggregate fair value of performance and market-based restricted share units that vested during the year (in thousands) | | $ | 6,697 |
| | $ | 9,409 |
| | $ | 110 |
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