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Basis of Presentation (Tables)
 6 Months Ended
Jun. 30, 2017
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Reconciliation of basic earnings per share ("EPS") to diluted EPS
The following is a reconciliation of basic earnings per common share to diluted earnings per share for the three months and six months ended June 30, 2017 and 2016, respectively:
 
 
Three Months Ended 
 June 30,
 
Six Months Ended 
 June 30,
(in thousands, except per share amounts)
2017
 
2016
 
2017
 
2016
Net income available to common stockholders
$
28,214

 
$
26,201

 
$
51,335

 
$
42,544

Basic weighted-average shares outstanding
47,634

 
48,399

 
47,634

 
48,353

Dilutive effect of potential common stock equivalents — stock options and restricted stock units
286

 
206

 
288

 
180

Diluted weighted-average shares outstanding
47,920

 
48,605

 
47,922

 
48,533

Earnings per common share:
 

 
 

 
 

 
 

Basic
$
0.59

 
$
0.54

 
$
1.08

 
$
0.88

Diluted
$
0.59

 
$
0.54

 
$
1.07

 
$
0.88

Potentially dilutive securities excluded from earnings per diluted share because their effect is anti-dilutive
—

 
—

 
—

 
—
Stock option and restricted stock unit activity of the entity
The following table represents the Company’s stock-based compensation activity for the three months and six months ended June 30, 2017 and 2016, respectively:
 
 
Three Months Ended June 30,
 
Six Months Ended June 30,
(in thousands)
2017
 
2016
 
2017
 
2016
Stock-based compensation expense recognized in operating expenses
$
2,986

 
$
3,373

 
$
10,572

 
$
5,853

Less: Tax benefit of stock-based compensation expense in provision for income taxes
1,079

 
1,204

 
3,870

 
2,122

Stock-based compensation expense, net of tax
$
1,907

 
$
2,169

 
$
6,702

 
$
3,731

Fair value of shares vested
$
2,687

 
$
3,601

 
$
10,337

 
$
5,951

Proceeds to the Company from the exercise of stock-based compensation
$
983

 
$
1,512

 
$
1,297

 
$
2,525

Tax effect from the exercise of stock-based compensation, including shortfall tax benefits
$
—

 
$
5

 
$
—

 
$
19


The Company allocates stock-based compensation expenses among cost of sales, research and development and other engineering expense, selling expense, or general and administrative expense based on the job functions performed by the employees to whom the stock-based compensation is awarded. The assumptions used to calculate the fair value of stock-based compensation are evaluated and revised, as necessary, to reflect market conditions and the Company’s experience. Stock-based compensation capitalized in inventory was $0.2 million and $0.5 million as of June 30, 2017 and 2016, respectively.
Summary of financial instruments
As of December 31, 2016 and June 30, 2017, the Company’s investments consisted of only money market funds, and as of June 30, 2016, its investments consisted of only United States Treasury securities and money market funds, which are the Company’s primary financial instruments, maintained in cash equivalents and carried at cost, approximating fair value, based on Level 1 inputs. The balances of the Company's primary financial instruments at the dates indicated were as follows:
 
At June 30,
 
At December 31,
(in thousands)
2017
 
2016
 
2016
United States Treasury securities and money market funds
$
3,438

 
$
35,043

 
$
2,832
Schedule of effective tax rates and income tax expense
The following table presents the Company’s effective tax rates and income tax expense for the three months and six months ended June 30, 2017 and 2016, respectively:
 
 
Three Months Ended June 30,
 
Six Months Ended June 30,
(in thousands, except percentages)
2017
 
2016
 
2017
 
2016
Effective tax rate
37.2
%
 
35.8
%
 
32.2
%
 
36.7
%
Provision for income taxes
$
16,712

 
$
14,640

 
$
24,392

 
$
24,703
Schedule of business acquisitions
The following table represents the preliminary allocation of the purchase price to the estimated fair value of the assets acquired and liabilities assumed at the acquisition date of the Gbo Fastening Systems acquisition:

(In thousands)
 
Assets *
 
 
Cash and cash equivalents
$
3,956

 
Accounts receivable
4,914

 
Inventory
13,063

 
Other current assets
760

 
Property, plant, equipment and noncurrent assets
5,744

 
 
28,437

Liabilities
 
 
Accounts payable
4,500

 
Other current liabilities
5,381

 
 
9,881

 
 
 
Total net assets
18,556

 
Gain on bargain purchase of a business, net of tax
(8,388
)
 
Total purchase price
$
10,168

*
Intangible assets acquired were determined to have little to no value, thus were not recognized.