In 2006, the Board of Directors adopted the Company’s 2006 Stock Option Plan, which, as amended, provided for the issuance of options to purchase up to 4,424,986 shares of the Company’s common stock to officers, directors, employees, and consultants. The 2006 Stock Option Plan expired in August 2017.

In January 2018, the Board of Directors adopted the Company’s 2018 Stock Option Plan (as amended), which currently provides for the issuance of options to purchase up to 3,048,490 shares of the Company’s common stock to officers, directors, employees, and consultants. The option exercise price per share is determined by the Board of Directors based on the estimated fair value of the Company’s common stock.

In June 2019, the Board of Directors adopted the Company’s 2019 Stock Option and Incentive Plan, which replaced the 2018 Plan upon the completion of the IPO. The 2019 Plan allows the Compensation Committee to make equity-based incentive awards including stock options and restricted stock units (RSUs) to the Company’s officers, employees, directors, and consultants. The initial reserve for the issuance of awards under this Plan was 2,139,683 shares of common stock. The initial number of shares reserved and available for issuance automatically increased on February 1, 2020 and will automatically increase each February 1 thereafter by 5% of the number of shares of common stock outstanding on the immediately preceding January 31 (or such lesser number of shares determined by the Compensation Committee).

Options granted under the plans have a maximum term of ten years and vest over a period determined by the Board of Directors (generally four years from the date of grant or the commencement of the grantee’s employment with the Company). Options generally vest 25% at the one-year anniversary of the grant date, after which point they generally vest pro rata on a monthly basis.

Effective July 2019, all available shares from expired, terminated, or forfeited awards that remained under the 2006 or 2018 prior stock compensation plans were made available for grant under the 2019 Plan.

In June 2019, the Board of Directors also adopted the Company’s 2019 Employee Stock Purchase Plan (The ESPP), which became effective immediately prior to the effectiveness of the registration statement for the Company’s initial public offering. The total shares of common stock initially reserved under the ESPP is limited to 855,873 shares.


	Number of options	Weighted- average exercise price		Weighted- average remaining contractual life (in years)	Aggregate Intrinsic value
Outstanding — January 31, 2020	5,516,452	$	3.80
Granted in six months ended July 31, 2020	—	$	—
Exercised	(1,203,593)	$	2.06
Forfeited and expired	(40,983)	$	7.22
Outstanding and expected to vest — July 31, 2020	4,271,876	$	4.26	6.14	$	110,233
Exercisable — July 31, 2020	2,919,857	$	2.93	5.18	$	79,205
Amount vested in six months ended July 31, 2020	347,073	$	5.87

As of July 31, 2020, there are 4,073,051 shares available for future grant pursuant to the 2019 Plan after factoring in the automatic increase from February 1, 2020, as well as an additional 855,873 shares available for future grant pursuant to the ESPP.

The aggregate intrinsic value represents the total pre-tax intrinsic value (the difference between the Company’s estimated stock price at the time of exercise and the exercise price, multiplied by the number of related in-the-money options) that would have been received by the option holders had they exercised their options at the end of the period. This amount changes based on the market value of the Company’s common stock. The total intrinsic value of options exercised for the six months ended July 31, 2020 and 2019 (based on the difference between the Company’s estimated stock price on the exercise date and the respective exercise price, multiplied by the number of options exercised), was $32,060 and $517, respectively.

For the three months ended July 31, 2020 and 2019, the Company recorded stock-based compensation expense for stock options of $673 and $653, respectively. For the six months ended July 31, 2020 and 2019, the Company recorded stock-based compensation expense for stock options of $1,258 and $1,242, respectively. As of July 31, 2020, there is $4,673 of total unrecognized compensation cost related to stock options issued to employees that is expected to be recognized over a weighted-average term of 2.32 years.

During fiscal 2020, prior to the IPO, the Company issued stock units to employees and directors that vest based on both a time-based condition and a performance-based condition. Pursuant to the time-based condition, 10% of the restricted stock units vest after one year, 20% vest after two years, 30% vest after three years and 40% vest after four years. The performance-based condition was based on a sale of the Company or an IPO, as defined. The restricted stock units expire seven years from the grant date. Upon completion of the Company’s IPO in July 2019, the Company immediately recognized the fair value of the vested units with the unvested portion recognized over the remaining service period.

In addition, in August 2019, the Company approved allowing executive officers the ability to elect to receive all or a portion of the bonus (based on its target bonus opportunity for the last half of the fiscal year) in the form of restricted stock units instead of cash. For such executive officers that elected to receive restricted stock units, such award was granted immediately after such election with a value equal to the portion of the target bonus opportunity that the executive officer elected not to receive in cash, and such award vests based on the achievement of the Company’s pre-defined performance targets. These performance-based awards were released in April 2020, after final approval by the Compensation Committee.

The Company issued 59,818 time-based restricted stock units during the three months ended July 31, 2020. The Company issued 575,194 time-based restricted stock units during the six months ended July 31, 2020. These time-based restricted stock units are subject to the same four-year vesting period as the previously granted units.


			Restricted stock units
Outstanding, February 1, 2020			1,447,418
Granted in six months ended July 31, 2020			575,194
Vested			(76,803)
Forfeited and expired			(32,559)
Outstanding, July 31, 2020			1,913,250

For the three months ended July 31, 2020 and 2019, the Company recognized $2,561 and $804 in restricted stock unit compensation expense, respectively. For the six months ended July 31, 2020 and 2019, the Company recognized $4,801 and $804 in restricted stock unit compensation expense, respectively, with $33,713 remaining of total unrecognized compensation costs related to these awards as of July 31, 2020. The total unrecognized costs are expected to be recognized over a weighted-average term of 3.72 years.

During the three and six months ended July 31, 2020, the Company recorded stock-based compensation expense of $8 and $17 related to restricted stock units issued in connection with the Vital Score acquisition in December 2018. During the three and six months ended July 31, 2019, the Company recorded stock-based compensation expense of $10 and $21 related to restricted stock units issued in connection with the Vital Score acquisition. As of July 31, 2020, there is $74 of total unrecognized compensation cost related to these awards.