v3.26.3
STOCK-BASED COMPENSATION (Tables)
 12 Months Ended
Aug. 31, 2026
Share-Based Payment Arrangement [Abstract]  
Schedule of Stock-based Compensation Expense
The following table presents the stock-based compensation expense for the fiscal years presented:
Years Ended August 31,
(in thousands)
202620252024
Stock-based compensation expense
$84,099 $61,229 $63,501 
Schedule of Stock Option Activity
A summary of stock option activity for employee and non-employee directors is as follows:
Number Outstanding (thousands)
Weighted Average
Exercise Price Per Share
Aggregate Intrinsic Value (millions)(1)
Weighted Average Remaining Contractual Life (years)
Outstanding as of August 31, 20251,685 $347.50 
Granted – employees233 $261.59 
Granted – CEO PSOs(2)
298 $295.63 
Granted – non-employee directors(3)
12 $289.68 
Exercised(4)
(123)$185.34 
Forfeited(190)$333.71 
Outstanding as of August 31, 2026(5)
1,915 $340.43 $51.0 5.8
Options vested and exercisable as of August 31, 20261,007 $332.25 $34.2 3.9
Options expected to vest as of August 31, 2026
805 $352.83 $14.4 7.9
(1)The aggregate intrinsic value represents the difference between our closing stock price as of August 31, 2026 of $313.55 and the exercise price, multiplied by the number of options exercisable as of that date.
(2)Reflects a one-time grant of PSOs to our CEO. Refer to CEO Performance Stock Option Awards within this section below, for more information.
(3)The non-employee directors weighted average grant date fair value of stock options granted during fiscal 2026, 2025 and 2024 was $69.88, $144.90 and $132.78, respectively.
(4)The total pre-tax intrinsic value of stock options exercised during fiscal 2026, 2025 and 2024 was $9.2 million, $66.5 million and $89.5 million, respectively.
(5)As of August 31, 2026, 908,564 of our total outstanding stock options were unvested, resulting in unamortized stock-based compensation expense of $52.5 million that is expected to be recognized over the remaining weighted average vesting period of 2.4 years.
Schedule of Weighted Average Assumptions used for Options The following table presents the weighted average inputs used in the lattice model to estimate the grant-date fair value of the employee stock options granted:
202620252024
Stock options granted(1)
232,567203,114243,379
Risk-free interest rate
3.61% - 4.48%
4.31% - 4.87%
3.78% - 5.53%
Expected life (years)6.46.66.6
Expected volatility
27% - 31%
23% - 25%
19% - 25%
Dividend yield1.38 %0.95 %0.90 %
Weighted Average Grant Date Fair Value
$75.40
$133.21
$132.59
(1) Includes the annual employee grant on November 3, 2025, November 1, 2024 and November 1, 2023 of 213,811, 200,693 and 242,371 stock options, respectively. The majority of the stock options granted during fiscal 2026, including the annual employee grant, vest 25% annually on the anniversary date of the grant and are fully vested after four years, expiring ten years from the date of grant. The majority of the stock options granted during fiscal 2025 and 2024, including the annual employee grants, vest 20% annually on the anniversary date of the grant and are fully vested after five years, expiring ten years from the date of grant.
CEO Performance Stock Option Awards
On September 22, 2025, we granted PSOs to our CEO, as part of his May 28, 2025 employment agreement. The PSOs vest if, during the performance period ending on the fifth anniversary of the grant date, our common stock achieves a 30-day trailing volume-weighted average price ("VWAP") equal to or greater than 150% of the 30-day trailing VWAP ending on the grant date. Options are not exercisable before the third anniversary of the grant date. These options expire 10 years from the grant date. We used the Monte Carlo model to estimate the grant date fair value of the September 22, 2025 CEO PSO grant. The following table presents the grant information and model assumptions:
CEO PSO Grant
Employee Grant DetailsSeptember 22, 2025
Stock options granted297,902
Grant Date Fair Value$73.85
Assumptions
Risk-free interest rate4.08 %
Expected volatility24.72 %
Dividend yield0.90 %
Expected life (years)5.00
Schedule of Restricted Stock Awards Activity
A summary of Restricted Stock Award activity for employee and non-employee directors is as follows:
(in thousands, except per award data)Number OutstandingWeighted Average Grant
Date Fair Value Per Award
Balance at August 31, 2025293 $429.19 
Granted – employee Restricted Stock Awards(1)(2)
326 $257.12 
Granted – non-employee directors RSUs(2)
5 $285.16 
Vested(3)
(72)$419.81 
Forfeited
(43)$370.75 
Outstanding as of August 31, 2026(4)
509 $323.63 
(1)During fiscal 2026, we granted 260,534 RSUs and 65,717 PSUs.
(2)The employee Restricted Stock Awards weighted average grant date fair value granted during fiscal 2026, 2025 and 2024 was $257.12, $444.30 and $423.57, respectively. The non-employee directors RSUs weighted average grant date fair value granted during fiscal 2026, 2025 and 2024 was $285.16, $449.72 and $458.23, respectively.
(3)During fiscal 2026, 2025 and 2024, the total fair value of RSUs vested was $24.8 million, $21.7 million and $17.7 million, respectively, and for PSUs vested was $5.8 million, $14.4 million and $13.6 million, respectively.
(4)As of August 31, 2026, 508,581 Restricted Stock Awards were unvested and outstanding, which resulted in unamortized stock-based compensation expense of $94.7 million that is expected to be recognized over the remaining weighted average vesting period of 2.6 years.