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NET INCOME (LOSS) PER SHARE
 3 Months Ended
Mar. 31, 2018
Earnings Per Share [Abstract]  
NET INCOME (LOSS) PER SHARE
NET INCOME (LOSS) PER SHARE
Basic and diluted net income (loss) per share is computed using the weighted average number of common shares outstanding for the period, excluding unvested restricted stock and RSUs. The following is a reconciliation of the numerators and denominators used in computing basic and diluted net loss per share for both continuing and discontinued operations:
 
 
Three months ended March 31,
 
 
2018
 
2017
 
 
(in thousands, except
per share amounts)
Numerator:
 
 
 
 
Net income (loss)
 
$
69,883

 
$
(12,865
)
Denominator:
 
 
 
 
Shares used in computation of basic net income (loss) per share (weighted average common shares outstanding)
 
29,700

 
29,024

Dilutive potential common shares:
 
 
 
 
Stock options, ESPP, restricted Stock and RSUs
 
866

 
—

Shares used in computation of diluted net income (loss) per share
 
30,566

 
29,024

Basic net income (loss) per share
 
$
2.35

 
$
(0.44
)
Diluted net income (loss) per share
 
$
2.29

 
$
(0.44
)

The Company includes the underlying market condition stock options in the calculation of diluted earnings per share if the performance condition has been satisfied as of the end of the reporting period and excludes such options if the performance condition has not been met.
For the three months ended March 31, 2018, standard stock options to purchase approximately 551,000 shares of common stock, with exercise prices greater than the average fair market value of the Company’s stock of $10.14 per share, were not included in the calculation because the effect would have been anti-dilutive.
As of March 31, 2017, the Company had securities outstanding that could potentially dilute basic earnings per share in the future, but these were excluded from the computation of diluted net loss per share for the three months ended March 31, 2017, since their effect would have been anti-dilutive. These outstanding securities consisted of the following:
 
 
March 31, 2017
Standard and market condition stock options outstanding
 
3,616,995

Restricted stock awards outstanding
 
77,540

RSUs outstanding
 
403,935

ESPP
 
11,889