v3.26.1
Net Income (Loss) per Share
 12 Months Ended
Jul. 31, 2026
Earnings Per Share [Abstract]  
Net Income (Loss) per Share Net Income (Loss) Per Share
The Company calculates basic earnings per share by dividing the net income (loss) by the weighted average number of shares of common stock outstanding for the period. For calculating diluted earnings per share, the Company uses the treasury stock method for options to purchase common stock, Stock Awards, and ESPP purchase rights, and the if-converted method for the Convertible Senior Notes.
The following table sets forth the computation of the Company’s basic and diluted net income (loss) per share for the fiscal years ended July 31, 2026, 2025, and 2024 (in thousands, except share and per share amounts):
Fiscal years ended July 31,
202620252024
Numerator:
Net income (loss)$139,283 $69,804 $(6,103)
Net income (loss) per share:
Basic$1.65 $0.83 $(0.07)
Diluted$1.63 $0.81 $(0.07)
Denominator:
Weighted average shares used in computing net income (loss) per share:
Basic84,186,951 83,846,793 82,291,483 
Weighted average effect of dilutive stock options65,014 88,673 — 
Weighted average effect of dilutive stock awards1,132,920 1,976,179 — 
Weighted average effect of the ESPP purchase rights20,292 8 — 
Diluted85,405,177 85,911,653 82,291,483 
The following weighted average shares of potential common stock were excluded from the computation of diluted net income (loss) per share for the periods presented because including them would have been anti-dilutive:
Fiscal years ended July 31,
202620252024
Stock options— — 182,082 
Stock awards676,983 19,643 3,763,725 
ESPP purchase rights3,455 2,784 — 
Convertible senior notes— — 3,516,480 
During the fiscal years ended July 31, 2026 and 2025, the average market price of the Company’s common stock did not exceed the initial conversion price of the 2029 Convertible Senior Notes.
During the fiscal year ended July 31, 2025, there was no dilutive effect on net income (loss) per share due to maturity and settlement of the outstanding principal balance of the 2025 Convertible Senior Notes. During the fiscal year ended July 31, 2024, the average market price of the Company’s common stock did not exceed the initial conversion price of the 2025 Convertible Senior Notes.