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Stock Based Compensation
 3 Months Ended
Mar. 31, 2024
Share-Based Payment Arrangement [Abstract]  
Stock Based Compensation Stock-Based Compensation
Stock Options
In 2021, the Company established the DocGo Inc. 2021 Equity Incentive Plan (the “Plan”), which replaced Ambulnz, Inc.’s 2017 Equity Incentive Plan. The Plan initially reserved 16,607,894 shares of Common Stock for issuance under the Plan. The Company’s stock options generally vest on various terms based on continuous services over periods ranging from three to five years. The stock options are subject to time vesting requirements through 2033 and are nontransferable. Stock options granted have a maximum contractual term of 10 years. As of March 31, 2024, approximately 5.1 million employee stock options had vested.
The fair value of each stock option grant is estimated on the date of grant using the Black-Scholes option-pricing model. Before the consummation of the Business Combination, management took the average of several publicly traded companies that were representative of the Company’s size and industry in order to estimate its expected stock volatility. Subsequent to the Business Combination, the Company utilized publicly available pricing. The expected term of the options represented the period of time the instruments were expected to be outstanding. The Company based the risk-free interest rate on the rate payable on the U.S. Treasury securities corresponding to the expected term of the awards at the date of grant. Expected dividend yield was zero based on the fact that the Company had not historically paid and does not intend to pay a dividend in the foreseeable future.
The following assumptions were used to compute the fair value of the stock option grants during the three months ended March 31, 2024 and 2023:
Three Months Ended March 31,
20242023
Risk-free interest rate4.3 %
0.7% - 4.3%
Expected term (in years)56.25
Volatility70.7 %
60% - 69%
Dividend yield— %— %
The following table summarizes the Company’s stock option activity under the Plan for the three months ended March 31, 2024:
Options
Shares 		Weighted
Average
Exercise Price		Weighted
Average
Remaining
Contractual
Life in Years		Aggregate
Intrinsic
Value
Balance as of December 31, 202311,942,264 $7.36 8.16$50,315,593 
Granted/vested50,000 3.66 — — 
Exercised— — — — 
Cancelled(203,279)5.69 — — 
Balance as of March 31, 202411,788,985 7.38 8.0549,866,336 
Options vested and exercisable as of March 31, 20245,135,931 $6.89 7.53$2,173,571 
The aggregate intrinsic value in the above table is calculated as the difference between the fair value of the Common Stock price and the exercise price of the stock options. The weighted average grant date fair value per share for stock option grants during the three months ended March 31, 2024 and the year ended December 31, 2023 was $3.66 and $7.93, respectively.
For the three months ended March 31, 2024 and 2023, the total recorded stock-based compensation related to stock option awards granted was $2,455,143, and $2,706,591, respectively.
On March 31, 2024 and December 31, 2023, the total unrecognized compensation related to unvested stock option awards granted was $19,926,689 and $29,058,756, respectively, which the Company expects to recognize over a weighted-average period of approximately 1.77 years.
Restricted Stock Units
The fair value of restricted stock units (“RSUs”) is determined on the date of grant. The Company records compensation expenses in the unaudited Condensed Consolidated Statements of Operations and Comprehensive Income on a straight-line basis over the vesting period for RSUs. The vesting period for employees and members of the Board of Directors ranges from one to four years.
Activity under RSUs during the three months ended March 31, 2024 was as follows:
RSUsWeighted-
Average
Grant Date
Fair Value
Per RSU
Balance as of December 31, 20232,424,095 $5.61 
Granted818,2473.67 
Vested(165,688)4.23 
Forfeited— — 
Balance as of March 31, 20243,076,6545.16 
Vested and unissued as of March 31, 202458,4345.85 
Non-vested as of March 31, 20243,018,220 $5.16 
The total grant-date fair value of RSUs granted during the three months ended March 31, 2024 was $2,999,432.
For the three months ended March 31, 2024 and 2023, the Company recorded stock-based compensation expense related to RSUs of $1,184,394 and $429,675, respectively.
On March 31, 2024, and December 31, 2023, the total unrecognized compensation related to unvested RSUs granted was $13,987,767, and $12,602,662, respectively, which is expected to be recognized over a weighted-average period of approximately 2.1 years.
Performance-based Stock Units
The fair value of performance-based restricted stock units (“PSUs”) is determined on the date of grant. The Company records compensation expense in the unaudited Condensed Consolidated Statement of Operations and Comprehensive Income on a straight-line basis over the vesting period for PSUs. The vesting period for employees and members of the Board of Directors ranges from one to four years.
Activity under PSUs during the three months ended March 31, 2024 was as follows:
PSUsWeighted-
Average
Grant Date
Fair Value
Per PSU
Balance as of December 31, 20231,085,270 $5.16 
Granted— — 
Vested— — 
Forfeited— — 
Balance as of March 31, 20241,085,2705.16 
Vested and unissued as of March 31, 2024— — 
Non-vested as of March 31, 20241,085,270 $5.16 
The total grant-date fair value of PSUs granted during the three months ended March 31, 2024 was $0.
For the three months ended March 31, 2024 and 2023, the Company recorded stock-based compensation expense related to PSUs of $348,802 and $0, respectively, which are included in accrued liabilities.
As of March 31, 2024, and December 31, 2023, the total unrecognized compensation related to unvested PSUs granted was $5,178,365, and $5,527,166, respectively, which is expected to be recognized over a weighted-average period of approximately 3.8 years.