v3.26.1
Stockholders' Equity
 6 Months Ended
Jun. 30, 2026
Share-Based Payment Arrangement, Noncash Expense [Abstract]  
Stockholders' Equity Stockholders’ Equity
Share-based Compensation
The following table summarizes share-based compensation expense included in our condensed consolidated statements of income related to share-based awards (in thousands):
Three Months EndedSix Months Ended
June 30,June 30,
2026202520262025
Research and development$4,755 $3,545 $9,799 $6,774 
Selling, general and administrative12,943 8,616 24,536 16,060 
Total share-based compensation expense$17,698 $12,161 $34,335 $22,834 
Share-based compensation expense by type of share-based award was as follows (in thousands):
Three Months EndedSix Months Ended
June 30,June 30,
2026202520262025
Stock options$4,404 $3,773 $9,944 $7,582 
RSUs, PSUs and ESPP13,294 8,388 24,391 15,252 
Total share-based compensation expense$17,698 $12,161 $34,335 $22,834 
We granted stock options to purchase approximately 0.4 million and 0.4 million shares of common stock during the six months ended June 30, 2026 and 2025, respectively. The exercise price of stock options granted is equal to the closing price of the common stock on the date of grant. The fair value of each option award is estimated on the date of grant using the Black-Scholes-Merton option pricing model (“Black-Scholes Model”). Expected volatility is based on historical volatility of our common stock. The expected term of options granted is based on analyses of historical employee termination rates and option exercises. The risk-free interest rate is based on the U.S. Treasury yield for a period consistent with the expected term of the option in effect at the time of the grant. The dividend yield assumption is based on the expectation of no future dividend payments. The assumptions used in the Black-Scholes Model were as follows:
Three Months Ended June 30,Six Months Ended June 30,
2026202520262025
Expected volatility
40.14 - 40.20%
40.95 - 40.95%
29.91 - 41.95%
39.68 - 40.95%
Average expected term (in years)4.75.54.74.8
Risk-free interest rate
3.97 - 4.08%
3.81 - 3.81%
3.62 - 4.08%
3.81 - 4.34%
Expected dividend yield— — — — 
In February 2021, our Board of Directors approved our 2021 ESPP and our stockholders approved the plan in May 2021. The 2021 ESPP enables eligible employees to purchase shares of our common stock at the end of each offering period at a price equal to 85% of the fair market value of the shares on the first business day or the last business day of the offering period, whichever is lower. Share purchases are funded through payroll deduction of at least 1% and up to 15% of an employee’s compensation for each payroll period, and no employee may purchase shares under the 2021 ESPP that exceeds $25,000 worth of our common stock for a calendar year. As of June 30, 2026, 2.5 million shares were available for future purchase. The offering period is generally for a six-month period. Offering periods shall commence on or about the sixteenth day of June and December of each year and end on or about the fifteenth day of the next December and June, respectively, occurring thereafter. During the six months ended June 30, 2026, 16,946 shares were issued pursuant to the ESPP.
Total unrecognized estimated compensation cost by type of award and the weighted-average remaining requisite service period over which such expense is expected to be recognized was as follows (in thousands, unless otherwise noted):
June 30, 2026
Unrecognized
Expense
Remaining
Weighted-Average
Recognition Period
(in years)
Stock options$33,461 2.36
RSUs69,922 2.69
PSUs36,834 1.99
ESPP300 0.34

Share Repurchases
February 2024 Share Repurchase Program
In February 2024, our Board of Directors authorized a new capital return program to repurchase up to $750.0 million of our outstanding common stock. During 2024, we repurchased approximately 4.7 million shares for $250.0 million at an average price of $53.95 per share. During 2025, we repurchased approximately 6.5 million shares for $342.3 million at an average price of $52.32 per share. During the second quarter of 2026, we repurchased approximately 2.3 million shares for $157.7 million at an average price of $67.91 per share.
Our February 2024 share repurchase program was completed in June 2026 with a total of 13.5 million shares repurchased at an average price of $55.56 per share.
May 2026 Share Repurchase Program
In May 2026, our Board of Directors authorized a new capital return program to repurchase up to $1.0 billion of our outstanding common stock by December 31, 2028.
During the second quarter of 2026, we repurchased 2.5 million shares for $175.1 million at an average price of $70.60 per share under the May 2026 program.
We had the following share repurchase activity under the approved share repurchase programs (in thousands, except share and per share amounts):
2026
Total Number of Shares Purchased
Weighted-Average Price Paid Per Share
Total Cost
First quarter— $— $— 
Second quarter(1)
4,801,364 $69.30 332,729 
4,801,364 $— $332,729 
(1) Included in the total cost of shares purchased is a commission fee of $0.02 per share.
All shares repurchased under our capital return programs have been retired and have resumed their status of authorized and unissued shares.