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Stock-Based Compensation
3 Months Ended
Mar. 31, 2021
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]  
Stock-Based Compensation

12. Stock-Based Compensation

Stock-based compensation expense was allocated based on the employees’ and non-employees’ functions as follows:

 

 

 

Three Months Ended

March 31,

 

 

 

2021

 

 

2020

 

Cost of goods sold

 

$

176

 

 

$

71

 

Research and development

 

 

341

 

 

 

201

 

Sales and marketing

 

 

921

 

 

 

440

 

General and administrative

 

 

1,247

 

 

 

735

 

Total

 

$

2,685

 

 

$

1,447

 

 

Stock Options

 

The Company granted options to purchase 357,140 shares of common stock at exercise prices ranging from $23.01 to $35.51 per share, with a weighted average exercise price of $27.06 per share, during the three months ended March 31, 2021. The Company granted options to purchase 909,960 shares of common stock at exercise prices ranging from $10.60 to $12.28 per share, with a weighted average exercise price of $12.13 per share, during the three months ended March 31, 2020. The weighted average fair value of stock options granted during the three months ended March 31, 2021 and 2020 was $19.73 and $8.93, respectively.

 

The weighted average assumptions used in the Black-Scholes options pricing model are as follows:

 

 

 

 

Three Months Ended March 31,

 

 

 

2021

 

 

2020

 

Expected dividend yield

 

 

0.0

%

 

 

0.0

%

Risk free interest rate

 

 

0.5

%

 

 

1.8

%

Expected stock price volatility

 

 

88.3

%

 

 

87.6

%

Expected term (years)

 

 

6.1

 

 

 

6.1

 

 

Restricted Stock Units and Restricted Stock Awards

The Company has granted both restricted stock units and restricted stock awards.

A summary of restricted stock unit activity for the three months ended March 31, 2021 is as follows:

 

 

 

 

 

 

 

Weighted

 

 

 

 

 

 

 

Average

 

 

 

 

 

 

 

Grant Date

 

 

 

Shares

 

 

Fair Value

 

Unvested at December 31, 2020

 

 

228,489

 

 

$

25.60

 

Granted

 

 

169,096

 

 

 

27.53

 

Vested

 

 

(1,921

)

 

 

22.35

 

Canceled

 

 

(2,050

)

 

 

12.74

 

Unvested at March 31, 2021

 

 

393,614

 

 

$

26.52

 

 

 

A summary of restricted stock award activity for the three months ended March 31, 2021 is as follows:

 

 

 

 

 

 

 

Weighted

 

 

 

 

 

 

 

Average

 

 

 

 

 

 

 

Grant Date

 

 

 

Shares

 

 

Fair Value

 

Unvested at December 31, 2020

 

 

103,650

 

 

$

1.68

 

Granted/purchased

 

 

-

 

 

 

-

 

Vested

 

 

(27,778

)

 

 

1.68

 

Canceled

 

 

-

 

 

 

-

 

Unvested at March 31, 2021

 

 

75,872

 

 

$

1.68

 

 

Employee Stock Purchase Plan

 

The ESPP provides for successive discrete offering periods of approximately six months or as determined by the plan administrator. Offering periods begin on each November 15th and May 15th or the first trading day thereafter.

The ESPP permits eligible employees to elect to purchase shares of common stock through fixed whole percentage contributions from eligible compensation during each offering period, not to exceed 10% of the eligible compensation a participant receives during an offering period and not to accrue at a rate which exceeds $25,000 of the fair value of the stock (determined on the grant date(s)) for each calendar year. A participant may purchase the lower of (a) a number of shares of common stock determined by dividing such participant’s accumulated payroll deductions on the exercise date by the option price, (b) 5,000 shares, or (c) such other lesser maximum number of shares as shall have been established by the plan administrator.

 

Amounts deducted and accumulated by the participant will be used to purchase shares of common stock at the end of each offering period. The purchase price of the shares will be 85% of the lower of the fair value of common stock on the first trading day of each offering period or on the purchase date. Participants may end their participation during an offering period up to ten days in advance of the exercise date and will be paid their accumulated contributions that have not been used to purchase shares of common stock. Participation ends automatically upon termination of employment.