v3.26.1
Stock-Based Compensation
6 Months Ended
Jun. 30, 2026
Share-Based Payment Arrangement [Abstract]  
Stock-Based Compensation
Note 8—Stock-Based Compensation
Stock-Based Compensation Expense
Stock-based compensation expense recorded in the condensed consolidated statements of operations was as follows (in thousands):
Three Months Ended
June 30,
Six Months Ended
June 30,
2026202520262025
Platform operations$8,816 $9,083 $17,214 $18,300 
Sales and marketing30,645 30,368 57,663 59,304 
Technology and development43,138 42,800 83,921 83,781 
General and administrative26,957 46,634 59,804 95,753 
Total$109,556 $128,885 $218,602 $257,138 
Stock Options, Excluding the CEO Performance Option
The following summarizes stock option activity:
Shares
Under Options
(in thousands)
Weighted-
Average
Exercise Price
Outstanding as of December 31, 2025
11,209$47.09 
Granted9,15822.36 
Exercised(600)8.73 
Expired/Forfeited(2,392)50.36 
Outstanding as of June 30, 2026
17,375$34.93 
Exercisable as of June 30, 2026
6,337$40.13 
Stock-based compensation expense relating to stock options was $20 million and $18 million for the three months ended June 30, 2026 and 2025, respectively. Stock-based compensation expense relating to stock options was $36 million and $32 million for the six months ended June 30, 2026 and 2025, respectively. As of June 30, 2026, the Company had
unrecognized stock-based compensation relating to stock options of approximately $185 million, which is expected to be recognized over a weighted-average period of 3.4 years.
CEO Performance Option
In October 2021, the Company granted a market-based performance award to the Company’s Chief Executive Officer (the “CEO Performance Option”) under the 2016 Plan. The CEO Performance Option has an exercise price of $68.29 per share. As of December 31, 2025, the CEO Performance Option had 17.8 million options outstanding. No options under the CEO Performance Option were granted, exercised, forfeited or expired during the three and six months ended June 30, 2026. As of June 30, 2026, the CEO Performance Option had 17.8 million options outstanding and 3.4 million exercisable options.
There was no stock-based compensation expense relating to the CEO Performance Option during the three months ended June 30, 2026, as stock-based compensation expense relating to the CEO Performance Option had been fully recognized as of March 31, 2026. Stock-based compensation expense of $19 million for the CEO Performance Option was recorded as a component of general and administrative expense during the three months ended June 30, 2025. Stock-based compensation expense of $5 million and $43 million for the CEO Performance Option was recorded as a component of general and administrative expense during the six months ended June 30, 2026 and 2025, respectively.
Restricted Stock
The following summarizes restricted stock activity:
Shares
(in thousands)
Weighted-
Average
Grant Date
Fair Value
Unvested as of December 31, 2025
11,608 $63.63 
Granted15,705 25.50 
Vested(2,715)61.15 
Forfeited(2,081)47.76 
Unvested as of June 30, 2026
22,517 $38.81 
Stock-based compensation expense relating to restricted stock was $85 million and $81 million for the three months ended June 30, 2026 and 2025, respectively. Stock-based compensation expense relating to restricted stock was $167 million and $152 million for the six months ended June 30, 2026 and 2025, respectively. As of June 30, 2026, the Company had unrecognized stock-based compensation relating to restricted stock of approximately $808 million, which is expected to be recognized over a weighted-average period of 3.3 years.
Employee Stock Purchase Plan (“ESPP”)
Stock-based compensation expense relating to the ESPP was $5 million and $11 million for the three months ended June 30, 2026 and 2025, respectively. Stock-based compensation expense relating to the ESPP was $11 million and $30 million for the six months ended June 30, 2026 and 2025, respectively. As of June 30, 2026, the Company had unrecognized stock-based compensation relating to ESPP awards of approximately $17 million, which is expected to be recognized over a weighted-average period of 1.2 years.