Net Income per Share

12 Months Ended

Dec. 31, 2022

Earnings Per Share [Abstract]

Net Income per Share

Net Income per ShareBasic net income per share is computed using the weighted average number of shares of common stock outstanding during the period. Diluted net income per share is computed using the weighted average number of shares of common stock, adjusted for any dilutive effect of potential common stock. Potential common stock, computed using the treasury stock method, includes RSUs, MSUs, PSUs and our ESPP.

The following table sets forth the computation of basic and diluted net income per share attributable to common stock (in thousands, except per share amounts): 

	Year Ended December 31,
	2022		2021		2020
Numerator:
Net income	$	361,573	$	772,020	$	1,775,888
Denominator:
Weighted average common shares outstanding, basic	78,190		78,917		78,760
Dilutive effect of potential common stock	230		753		470
Total shares, diluted	78,420		79,670		79,230
Net income per share, basic	$	4.62	$	9.78	$	22.55
Net income per share, diluted	$	4.61	$	9.69	$	22.41
Anti-dilutive potential common shares 1	320		1		280

1    Represents stock-based awards not included in the calculation of diluted net income per share as the effect would have been anti-dilutive.