Share-Based Compensation (Tables)

6 Months Ended

Jun. 29, 2019

Share-based Payment Arrangement [Abstract]

Summary of Equity Awards Authorized and Available for Future Grant

A summary of the equity awards available for future grants under the 2018 Plan is as follows:

Available for future grants as of December 31, 2018	3,789,800
Granted	(298,304	)
Available for future grants as of June 29, 2019	3,491,496

Summary of SARs Outstanding

A summary of the Company’s SARs for the six months ended June 29, 2019 is as follows:

SARs	SARs		Weighted-Average Grant Date Exercise Price
Outstanding at beginning of period	1,261,185		$	75.71
Granted	70,141		205.12
Exercised	(220,839	)	66.39
Forfeited	(19,288	)	86.33
Outstanding at end of period	1,091,199		$	85.74
Exercisable at end of period	655,542		$	69.40

Weighted-Average Assumptions Used for Grants of Stock Options and SARs

The following table shows the weighted-average assumptions used for grants of SARs, as well as the fair value of the grants based on those assumptions:

	June 29, 2019	June 30, 2018
Expected dividend yield	0%	0%
Forfeiture rate	8.20%	8.40%
Volatility	36.79%	35.93%
Risk free interest rate	2.28%	2.96%
Expected weighted-average life	4.02	4.11
Weighted-average grant date fair value of SARs granted (per underlying share)	$64.17	$47.59

Schedule of Outstanding and Exercisable Options

The following table summarizes information about SARs outstanding as of June 29, 2019:

	Outstanding		Exercisable
Aggregate intrinsic value (in millions)	$	135	$	92
Weighted-average remaining contractual term	5.3		4.9

Summary of Restricted Stock Award Activity

A summary of the Company’s RSAs for the six months ended June 29, 2019 is as follows:

RSAs	Shares		Weighted-Average Grant Date Fair Value
Outstanding at beginning of period	657,724		$	93.45
Granted	167,237		203.80
Vested	(351,521	)	71.98
Forfeited	(9,078	)	115.84
Outstanding at end of period	464,362		$	148.99

Summary of Performance Share Award Activity

The fair value of each PSA granted includes assumptions around the Company’s performance goals. A summary of the Company’s PSAs for the six months ended June 29, 2019 is as follows:

PSAs	Shares		Weighted-Average Grant Date Fair Value
Outstanding at beginning of period	259,727		$	86.41
Granted	145,828		205.12
Vested	(229,122	)	120.30
Forfeited	(5,215	)	80.42
Outstanding at end of period	171,218		$	142.24