v3.25.2
STOCK OPTIONS
 6 Months Ended
Jun. 30, 2025
Equity [Abstract]  
STOCK OPTIONS

NOTE 7 – STOCK OPTIONS

 

Summary of Options

 

The Company maintains the 2022 Equity Incentive Plan (the “2022 Plan”), which provides for the grant of incentive stock options, non-statutory stock options, stock appreciation rights, restricted stock awards, restricted stock units and performance units and performance shares to employees, directors and consultants of the Company or any parent or subsidiary of the Company. The purpose of the 2022 Plan is to enable the Company to attract and retain the best available personnel for positions of substantial responsibility, to provide additional incentives to employees, directors and consultants of the Company or any parent or subsidiary of the Company, and to promote the success of the Company’s business.

 

A summary of stock options for the six months ending June 30, 2025 is as follows:

 

           Weighted-     
       Weighted-   Average     
       Average   Remaining   Aggregate 
       Exercise   Contractual   Intrinsic 
   Options   Price   Life (Years)   Value 
                 
Outstanding at December 31, 2024   13,659   $142.99    

2.25

   $        
Granted   5,000    1.50    -    - 
Forfeited   (217)   300.00    -    - 
Exercised   -    -    -    - 
Outstanding at June 30, 2025   18,442   $99.79    1.92   $- 
                     
Exercisable at June 30, 2025   5,030   $280.28        $- 

 

During the six months ending June 30, 2025, the Company granted stock options to employees to purchase 5,000 shares of common stock for services rendered. The options have an average exercise price of $1.50 per share, expire in five years, vesting equally over four years from the employees’ start date. The total fair value of these options at the grant date was approximately $6,800 using the Black-Scholes option pricing model.

 

The total stock compensation expense recognized related to vesting stock options for the six months ending June 30, 2025 and 2024 amounted to $94,000 and $185,000, respectively. As of June 30, 2025 the total unrecognized stock-based compensation was $312,000 which is expected to be recognized as part of operating expense through September 2028.

 

As of June 30, 2025, the intrinsic value of the outstanding options under the 2022 Plan was $0.

 

The fair value of share option award is estimated using the Black-Scholes option pricing model based on the following weighted-average assumptions:

 

    2025     2024  
    Six Months Ended June 30,  
    2025     2024  
Risk-free interest rate     3.79 %     3.95% - 4.45 %
Average expected term     5 years       7 years  
Expected volatility     147.1 %     150.0 %
Expected dividend yield     -       -