Stock-Based Compensation (Tables)

6 Months Ended

Dec. 31, 2019

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Summary of options Activity

The following is a summary of options activity for the six months ended December 31, 2019:

				Weighted-Average
				Remaining	Aggregate
	Number of	Weighted-Average		Contractual	Intrinsic Value
	Options	Exercise Price		Life (in Years)	(in thousands)
Outstanding as of July 1, 2019	1,488,478	$	31.33
Granted	229,125		43.39
Exercised	(76,696)		27.77
Forfeited	(39,026)		41.09
Expired	(65,817)		52.25
Outstanding as of December 31, 2019	1,536,064		32.15	6.90	$	8,654
Exercisable as of December 31, 2019	729,362	$	28.51	5.58	$	6,211

Fair Values of Stock Option Awards Estimated Weighted Average Assumptions

The fair value of Adtalem’s stock option grants was estimated assuming the following weighted-average assumptions:

	Fiscal Year
	2019		2018
Expected life (in years)	6.51		6.50
Expected volatility	37.66	%	39.60	%
Risk-free interest rate	1.40	%	2.73	%
Dividend yield	0.00	%	0.00	%

Summary of Restricted Stock Units Activity

The following is a summary of RSU activity for the six months ended December 31, 2019:

		Weighted-Average
	Number of	Grant Date
	RSUs	Fair Value
Outstanding as of July 1, 2019	878,030	$	34.86
Granted	394,870		42.66
Vested	(355,107)		28.65
Forfeited	(73,877)		39.42
Outstanding as of December 31, 2019	843,916	$	39.21

Total Stock-Based Compensation Expense Included in Consolidated Statement of Earnings

The following table shows total stock-based compensation expense included in the Consolidated Statements of Income (in thousands):

	Three Months Ended				Six Months Ended
	December 31,				December 31,
	2019		2018		2019		2018
Cost of educational services	$	312	$	302	$	767	$	696
Student services and administrative expense		3,012		2,922		7,780		6,664
		3,324		3,224		8,547		7,360
Income tax benefit		(713)		(1,231)		(3,246)		(3,238)
Net stock-based compensation expense	$	2,611	$	1,993	$	5,301	$	4,122