Stock-Based Compensation (Notes)

9 Months Ended

Oct. 31, 2019

Share-based Payment Arrangement [Abstract]

Stock-Based Compensation

NOTE 7 — STOCK-BASED COMPENSATION

The Company recorded $23.7 million of stock-based compensation expense for both the nine months ended October 31, 2019 and 2018.

The 2018 Equity Incentive Plan was approved by the Company’s shareholders in June 2018 and includes 2.0 million shares available for grant, of which approximately 1.7 million shares remain available for future grant at October 31, 2019. The Company is authorized to award officers, employees, and non-employee members of the Board of Directors restricted stock, options to purchase common stock, stock appreciation rights and performance awards that are dependent upon achievement of specified performance goals. Equity-based compensation awards have a maximum term of 10 years, unless a shorter period is specified by the Compensation Committee of the Board of Directors ("Compensation Committee") or is required under local law. Awards under the plan are priced as determined by the Compensation Committee and are required to be priced at, or above, the fair market value of the Company’s common stock on the date of grant. Awards generally vest between one year and three years from the date of grant. The Company’s policy is to utilize shares of its treasury stock, to the extent available, to satisfy its obligation to issue shares upon the exercise of awards.

Restricted stock units

A summary of the Company’s restricted stock activity for the nine months ended October 31, 2019 is as follows:

	Shares
Nonvested at January 31, 2019	649,122
Granted	228,528
Vested	(263,334	)
Canceled	(29,851	)
Nonvested at October 31, 2019	584,465

Performance based restricted stock units

The Company's performance based restricted stock unit awards are subject to vesting conditions, including meeting specified cumulative performance objectives over a period of three years. Each performance based award recipient could vest in 0% to 150% of the target shares granted, contingent on the achievement of the Company's financial performance metrics. A summary of the Company’s performance based restricted stock activity, assuming maximum achievement for nonvested awards, for the nine months ended October 31, 2019 is as follows:

	Shares
Nonvested at January 31, 2019	293,216
Granted	108,771
Vested	(16,996	)
Canceled	(18,648	)
Nonvested at October 31, 2019	366,343