v3.26.1
Stock-Based Compensation
 6 Months Ended
Jun. 30, 2026
Share-Based Payment Arrangement [Abstract]  
Stock-Based Compensation Stock-Based Compensation
Total stock-based compensation recognized, before taxes, are as follows (in thousands):
Three Months Ended June 30,Six Months Ended June 30,
2026202520262025
Cost of sales$2,898 $2,229 $5,592 $4,416 
Research and development3,278 3,000 6,519 5,526 
Selling, general and administrative9,904 8,070 18,486 14,638 
Stock-based compensation capitalized in inventory(1,546)(1,136)(2,991)(2,309)
Total stock-based compensation$14,534 $12,163 $27,606 $22,271 
Stock Options
The Company had 7.9 million shares available for grant as of June 30, 2026 under the 2021 Equity Incentive Award Plan, or 2021 Plan.
A summary of the Company’s stock option activity and related information are as follows (options in thousands):
Six Months Ended
June 30, 2026
Number of SharesWeighted-Average Exercise Price
Outstanding, beginning of period3,444 $17.00 
Granted375 25.78 
Exercised(95)4.24 
Forfeited— — 
Outstanding, end of period3,724 18.22 
Vested and expected to vest3,724 18.22 
Exercisable2,808 12.73 
As of June 30, 2026 and December 31, 2025, the aggregate pre-tax intrinsic value of options outstanding and exercisable was $38.5 million and $61.0 million, respectively, and the aggregate pre-tax intrinsic value of options outstanding were $38.5 million and $61.0 million, respectively. The aggregate pre-tax intrinsic value of options exercised was $2.2 million and $16.5 million during the six months ended June 30, 2026 and 2025, respectively.
As of June 30, 2026, there was a total of $16.4 million of unrecognized stock-based compensation expense related to stock options.
The fair value of the options granted to employees or directors was estimated as of the grant date using the Black-Scholes model assuming the weighted-average assumptions listed in the following table:
Three Months Ended June 30,Six Months Ended June 30,
2026202520262025
Expected life (years)5.75.86.06.0
Expected volatility 62 %56 %64 %57 %
Risk-free interest rate 3.9 %4.1 %3.8 %4.0 %
Expected dividend rate — %— %— %— %
Weighted-average fair value$16.06 $33.46 $15.70 $34.48 
Restricted Stock Units
A summary of the Company’s restricted stock unit, or RSU, activity and related information are as follows (RSUs in thousands):
Six Months Ended
June 30, 2026
Number of SharesWeighted-Average Fair Value
Unvested, beginning of period2,346 $48.63 
Awarded2,485 25.61 
Forfeited(242)39.13 
Vested(603)48.65 
Unvested, end of period3,986 34.85 
As of June 30, 2026, there was a total of $120.3 million of unrecognized stock-based compensation expense related to RSUs.
Performance Stock Units
The 2021 Plan provides for issuance of performance stock units, or PSUs. PSUs granted are contingent upon the achievement of predetermined market, performance, and service conditions. PSUs are awarded to executives of the Company and generally time vest over a period of up to three years. Vesting is also generally contingent upon achievement of applicable performance metrics. PSU expense is recognized over the requisite service period.

During the six months ended June 30, 2026, the Company awarded PSU shares with both a performance and service condition.

A summary of the Company’s PSU activity and related information are as follows (PSUs in thousands):

Six Months Ended
June 30, 2026
Number of SharesWeighted-Average Fair Value
Unvested, beginning of period115 $67.62 
Awarded307 25.35 
Forfeited— — 
Vested(34)82.14 
Performance change(52)66.36 
Unvested, end of period336 27.68 
As of June 30, 2026, total unrecognized stock-based compensation related to unvested PSUs was $4.9 million.
Employee Stock Purchase Plan
As of June 30, 2026, there was approximately $3.3 million of unrecognized cost related to the Employee Stock Purchase Plan, or ESPP. This cost is expected to be recognized over a weighted average period of 0.7 years. As of June 30, 2026, a total of 2.2 million shares were available for issuance under the ESPP.
The fair value of the options granted to employees was estimated as of the grant date using the Black-Scholes model assuming the weighted-average assumptions listed in the following table:
Six Months Ended June 30,
20262025
Expected life (years)0.70.8
Expected volatility 57 %59 %
Risk-free interest rate 3.8 %4.2 %
Expected dividend rate — %— %
Weighted-average fair value$9.67 $23.52