v3.26.1
SHARE-BASED COMPENSATION (Tables)
 6 Months Ended
Jun. 30, 2026
Share-Based Payment Arrangement [Abstract]  
Summary of RSU Activity
RSU activity under all stock plans for the six months ended June 30, 2026, was as follows (in millions, except per share amounts):
 SharesWeighted-Average
Grant-Date Fair Value
Unvested balance as of December 31, 2025
4.7 $412.46 
RSUs granted1.8 $503.95 
RSUs vested(1.7)$368.32 
RSUs forfeited(0.2)$438.66 
Unvested balance as of June 30, 2026
4.6 $463.67 
Summary of Stock Option Activity Under All Stock Plans
Stock option activity under all stock plans for the six months ended June 30, 2026, was as follows (in millions, except per share amounts):
 
Stock Options
Outstanding
Weighted-Average
Exercise Price Per
Share
Outstanding balance as of December 31, 2025
5.4 $208.18 
Options granted— $— 
Options exercised(0.7)$157.77 
Options forfeited or expired
— $255.71 
Outstanding balance as of June 30, 2026
4.7 $214.99 
Share-Based Payment Arrangement, Performance Shares, Activity
PSU activity for the six months ended June 30, 2026, was as follows (in millions, except per share amounts):
 
Shares		Weighted-Average
Grant Date Fair Value Per Share
Unvested balance as of December 31, 20250.3 $374.67 
Granted0.1 $506.88 
Vested(0.2)$244.55 
Performance change— $282.55 
Forfeited— $468.10 
Unvested balance as of June 30, 20260.2 $483.90 
Summary of Share-Based Compensation Expense
The following table summarizes share-based compensation expense (in millions):
 Three Months Ended June 30,Six Months Ended June 30,
 2026202520262025
Cost of revenue – product$28.8 $30.3 $58.1 $60.5 
Cost of revenue – service9.2 8.6 18.5 16.8 
Total cost of revenue38.0 38.9 76.6 77.3 
Selling, general, and administrative88.1 86.3 180.8 168.6 
Research and development86.7 74.7 168.7 143.7 
Share-based compensation expense before income taxes212.8 199.9 426.1 389.6 
Income tax benefit43.0 39.3 85.7 76.3 
Share-based compensation expense after income taxes$169.8 $160.6 $340.4 $313.3 
Schedule of Estimated Fair Value of the Option Using Black-Scholes Option Pricing Model, Weighted Average Assumptions :
 Three Months Ended June 30,Six Months Ended June 30,
 2026202520262025
ESPP
Risk-free interest rate—%—%3.5%4.2%
Expected term (in years)0.00.01.21.2
Expected volatility—%—%34%30%
Fair value at grant date$—$—$148.30$170.50