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STOCK-BASED COMPENSATION
 9 Months Ended
Sep. 30, 2020
Share-based Payment Arrangement [Abstract]  
STOCK-BASED COMPENSATION STOCK-BASED COMPENSATION
The following table summarizes the components of stock-based compensation expense recognized in the Company’s condensed consolidated statements of income and comprehensive income for the periods indicated:
Three Months Ended
September 30,		Nine Months Ended
September 30,
2020201920202019
Cost of revenues (exclusive of depreciation and amortization)$10,854 $7,580 $23,796 $27,841 
Selling, general and administrative expenses12,620 7,891 30,998 25,183 
Total$23,474 $15,471 $54,794 $53,024 

Stock Options
Stock option activity under the Company’s plans is set forth below:
 Number of
Options 		Weighted Average
Exercise Price 		Aggregate
Intrinsic Value 		Weighted Average
Remaining Contractual Term (in years)
Options outstanding at January 1, 20203,322,930 $50.85 
Options granted147,351 $176.21 
Options modified(198)$73.27 
Options exercised(592,904)$38.76 
Options forfeited/cancelled(9,137)$117.40 
Options outstanding at September 30, 2020
2,868,042 $59.58 $756,305 4.5
Options vested and exercisable at September 30, 2020
2,489,928 $46.31 $689,630 3.9
Options expected to vest at September 30, 2020
353,203 $145.98 $62,624 8.4
As of September 30, 2020, $15,575 of total remaining unrecognized stock-based compensation cost related to unvested stock options, net of estimated forfeitures, is expected to be recognized over the weighted-average remaining requisite service period of 2.8 years.
Restricted Stock and Restricted Stock Units
Service-Based Awards
The table below summarizes activity related to the Company’s equity-classified and liability-classified service-based awards for the nine months ended September 30, 2020:
Equity-Classified
 Restricted Stock
Equity-Classified
Equity-Settled
Restricted Stock Units
Liability-Classified
Cash-Settled
Restricted Stock Units
 
Number of
Shares 
Weighted Average Grant Date
Fair Value Per Share 
Number of
Shares 
Weighted Average Grant Date
Fair Value Per Share 
Number of
Shares 
Weighted Average Grant Date
Fair Value Per Share 
Unvested service-based awards outstanding at January 1, 20209,791 $162.96 758,785 $122.48 242,288 $105.40 
Awards granted— $— 252,376 $180.39 59,770 $180.37 
Awards modified— $— (1,237)$122.55 — $— 
Awards vested(397)$63.10 (298,331)$107.31 (121,399)$91.22 
Awards forfeited/cancelled— $— (35,446)$140.33 (4,106)$112.58 
Unvested service-based awards outstanding at September 30, 2020
9,394 $167.18 676,147 $149.85 176,553 $140.36 
As of September 30, 2020, $897 of total remaining unrecognized stock-based compensation cost related to service-based equity-classified restricted stock is expected to be recognized over the weighted-average remaining requisite service period of 1.9 years.
As of September 30, 2020, $73,991 of total remaining unrecognized stock-based compensation cost related to service-based equity-classified restricted stock units (“RSUs”), net of estimated forfeitures, is expected to be recognized over the weighted-average remaining requisite service period of 2.6 years. During the nine months ended September 30, 2020, 19,201 equity-classified RSUs were granted in connection with 2020 acquisitions of businesses. See Note 2 “Acquisitions” in the condensed consolidated interim financial statements for additional information regarding business acquisitions. During the first quarter of 2020, in connection with a 2019 acquisition of a business, the Company formally issued 5,793 equity-classified RSUs.
As of September 30, 2020, $34,399 of total remaining unrecognized stock-based compensation cost related to service-based liability-classified cash-settled RSUs, net of estimated forfeitures, is expected to be recognized over the weighted-average remaining requisite service period of 2.4 years. During the nine months ended September 30, 2020, 9,736 liability-classified cash-settled RSUs were granted in connection with 2020 acquisitions of businesses. See Note 2 “Acquisitions” in the condensed consolidated interim financial statements for additional information regarding business acquisitions.
The liability associated with the service-based liability-classified RSUs as of September 30, 2020 and December 31, 2019, was $18,577 and $21,902, respectively, and was classified as Accrued compensation and benefits expenses in the condensed consolidated balance sheets.
Performance-Based Awards
The table below summarizes activity related to the Company’s equity-classified performance-based awards for the nine months ended September 30, 2020:
Equity-Classified
Equity-Settled
Restricted Stock
Equity-Classified
Equity-Settled
Restricted Stock Units
 
Number of
Shares 
Weighted Average Grant Date
Fair Value Per Share 
Number of
Shares 
Weighted Average Grant Date
Fair Value Per Share 
Unvested performance-based awards outstanding at January 1, 20209,393 $165.87 — $— 
Awards granted— $— 31,354 $210.44 
Unvested performance-based awards outstanding at September 30, 2020
9,393 $165.87 31,354 $210.44 
As of September 30, 2020, $1,137 of total remaining unrecognized stock-based compensation cost related to performance-based restricted stock is expected to be recognized over the weighted-average remaining requisite service period of 2.9 years.
During the nine months ended September 30, 2020, in connection with a 2019 acquisition of a business, the Company formally issued 24,836 performance-based equity-classified RSUs. During the nine months ended September 30, 2020, 6,518 performance-based equity-classified RSUs were granted in connection with 2020 acquisitions of businesses. See Note 2 “Acquisitions” in the condensed consolidated interim financial statements for additional information regarding business acquisitions. As of September 30, 2020, $4,096 of total remaining unrecognized stock-based compensation cost related to performance-based equity-classified RSUs is expected to be recognized over the weighted-average remaining requisite service period of 3.0 years.
During the nine months ended September 30, 2020, the Company agreed to issue RSUs at future dates in connection with 2020 acquisitions of businesses. The number of awards to be issued is subject to attainment of specified performance targets in the 2 years after the acquisition dates as well as the Company’s stock price at the time of formal issuance. See Note 2 “Acquisitions” in the condensed consolidated interim financial statements for additional information regarding business acquisitions. The awards require continued service and vest over 3 years from the dates of acquisition. As of September 30, 2020, taking into consideration the probability of achieving the specified performance goals, $698 of total remaining unrecognized stock-based compensation costs is expected to be recognized over the weighted-average remaining requisite service period of 2.3 years. If all performance criteria are met, these awards could be worth up to $11,527.