Stockholders' Equity

9 Months Ended

Oct. 31, 2020

Equity [Abstract]

Stockholders' Equity

Stockholders’ Equity

The fair value of the Company’s stock options and ESPP shares was estimated on the date of grant and the first day of the ESPP purchase period, respectively, using the Black-Scholes option pricing model. The weighted-average fair value per share for stock options grants, excluding assumed awards, was $59.54 and $40.52 in the three and nine months ended October 31, 2020, respectively compared to $35.31 and $39.65 in the three and nine months ended October 31, 2019, respectively.

ESPP assumptions and the related fair value per share table are disclosed in the three month period in which there is ESPP activity, such as an ESPP purchase. The Company's ESPP allows for two purchases during the fiscal year, one during the second quarter and one during the fourth quarter. The estimated life of the ESPP will be based on the two purchase periods within each offering period. The weighted-average fair value per share for ESPP shares was $53.64 in the three months ended October 31, 2020.

Stock option activity, excluding the ESPP for the nine months ended October 31, 2020 is as follows:

	Options Outstanding
	Outstanding Stock Options (in millions)	Weighted- Average Exercise Price		Aggregate Intrinsic Value (in millions)
Balance as of January 31, 2020	27	$	98.56
Options granted under all plans	8	145.30
Exercised	(10)	79.77
Plan shares expired or canceled	(1)	133.43
Balance as of October 31, 2020	24	$	118.31	$	2,765
Vested or expected to vest	22	$	115.96	$	2,611
Exercisable as of October 31, 2020	10	$	82.86	$	1,523

The following table summarizes information about stock options outstanding as of October 31, 2020:

	Options Outstanding				Options Exercisable
Range of Exercise Prices	Number Outstanding (in millions)	Weighted- Average Remaining Contractual Life (Years)	Weighted- Average Exercise Price		Number of Shares (in millions)	Weighted- Average Exercise Price
$0.36 to $59.34	5	3.3	$	39.88	4	$	41.36
$59.64 to $98.90	3	3.2	78.09		3	78.28
$106.83 to $125.44	3	4.4	118.49		2	118.52
$142.33 to $148.95	2	5.7	146.82		0	146.43
$154.14	6	6.5	154.14		0	0.00
$155.20 to $249.67	5	5.5	165.84		1	161.50
	24	4.9	$	118.31	10	$	82.86

Restricted stock activity for the nine months ended October 31, 2020 is as follows:

	Restricted Stock Outstanding
	Outstanding (in millions)	Weighted-Average Grant Date Fair Value		Aggregate Intrinsic Value (in millions)
Balance as of January 31, 2020	28	$	140.14
Granted - restricted stock units and awards	11	163.01
Granted - performance-based stock units	1	154.14
Canceled	(2)	142.18
Vested and converted to shares	(10)	131.96
Balance as of October 31, 2020	28	$	152.31	$	6,553
Expected to vest	25			$	5,725

During the nine months ended October 31, 2020 the Company recognized stock-based expense related to its equity plans for employees and non-employee directors of $1.6 billion. The aggregate stock compensation remaining to be recognized as of October 31, 2020 is as follows (in millions):

Fiscal Period:
Remaining three months of fiscal 2021	$	526
Fiscal 2022	1,752
Fiscal 2023	1,283
Fiscal 2024	718
Fiscal 2025	138
Total stock compensation	$	4,417

The expected amortization reflects only outstanding stock awards as of October 31, 2020 and assumes no forfeiture activity. The aggregate stock compensation remaining to be recognized to costs and expenses will be recognized over a weighted-average period of approximately 3 years.

Shares reserved and available for future issuance as of October 31, 2020 and January 31, 2020 were 143 million shares and 133 million shares, respectively.