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Stock-Based Compensation
 12 Months Ended
Dec. 31, 2022
Share-Based Payment Arrangement [Abstract]  
Stock-Based Compensation Stock-Based Compensation
Equity Incentive Plans
As of December 31, 2022, the Company’s approved equity incentive plans included the 2015 Equity Incentive Plan (“2015 Plan”), the 2013 Equity Incentive Plan (“2013 Plan”), and the 2008 Equity Incentive Plan (“2008 Plan”). These plans are administered by the Board of Directors and permit the granting of stock options, stock appreciation rights, restricted stock, restricted stock units and dividend equivalent rights to employees, officers, directors and consultants of the Company.
The Company has certain stock option and restricted stock awards outstanding under each of its equity incentive plans but, upon adoption of the 2015 Plan, no longer grants new equity awards under its 2008 and 2013 Plans. The Company adopted its 2015 Plan in June 2015 and subsequently amended the plan in April 2016, 2017, 2019, 2021 and 2022 which increased the common stock reserved for issuance under the plan to an aggregate 10,930,277 shares. The Company assumed Progenics equity plans due to the acquisition as discussed in Note 1, “Description of Business”. The Company no longer grants new equity awards under the Progenics equity plans.
Stock-based compensation expense recognized in the consolidated statements of operations is summarized below:
Year Ended
December 31,
(in thousands)202220212020
Cost of goods sold$4,422 $2,370 $2,820 
Sales and marketing6,185 2,472 1,821 
General and administrative14,876 9,092 7,333 
Research and development3,779 2,000 2,101 
Total stock-based compensation expense$29,262 $15,934 $14,075 
Stock Options
Stock option awards under the 2015 Plan are granted with an exercise price equal to the fair value of the Company’s common stock at the date of grant. All option awards have a ten-year contractual term.
A summary of option activity for 2022 is presented below:
Total
Stock
Options		Weighted-
Average
Exercise
Price		Weighted-
Average
Remaining
Contractual
Term
(Years)		Aggregate
Intrinsic
Value
Balance at January 1, 2022972,939 $18.73 4.710,145,135 
Options granted317,789 $53.55 
Options exercised(397,822)$20.07 
Options cancelled and forfeited(18,157)$38.20 
Outstanding at December 31, 2022874,749 $30.37 5.819,058,224 
Vested and expected to vest at December 31, 2022874,749 $30.37 5.819,058,224 
Exercisable at December 31, 2022517,424 $17.83 3.617,141,202 
The table below summarizes the key weighted-average assumptions used in valuing stock options granted:
Year Ended December 31,
202220212020
Expected volatility62.1 %— %71.1 %
Risk-free interest rate2.0 %— %0.3 %
Expected life (in years)6.0—3.5
Expected dividend yield———
During the years ended December 31, 2022, 2021 and 2020, 397,822, 318,662 and 8,868 options were exercised having aggregate intrinsic values of $13.1 million, $1.6 million and $0.1 million, respectively.
As of December 31, 2022, there was $7.0 million of unrecognized compensation expense related to outstanding stock options, which is expected to be recognized over a weighted-average period of 2.2 years.
Restricted Stock
A summary of restricted stock awards and restricted stock units activity for 2022 is presented below:
SharesWeighted-
Average Grant
Date Fair Value Per Share
Nonvested balance at January 1, 20221,330,374 $19.04 
Granted649,672 $51.51 
Vested(624,069)$19.11 
Forfeited(105,985)$30.81 
Nonvested balance at December 31, 20221,249,992 $34.65 
Restricted stock generally vest over 3 years. As of December 31, 2022, there was $30.1 million of unrecognized compensation expense related to outstanding restricted stock, which is expected to be recognized over a weighted-average period of 2.0 years.
The weighted average grant-date fair value for restricted stock granted during the fiscal years ended December 31, 2022, 2021 and 2020 was $51.51, $20.14 and $15.00 per share, respectively. The total fair value of restricted stock vested in fiscal years 2022, 2021 and 2020 was $11.9 million, $8.8 million and $7.6 million, respectively.
Total Stockholder Return Restricted Stock Awards (“TSR Awards”)
During the years ended December 31, 2022, 2021 and 2020, the Company granted total stockholder return (“TSR”) Awards that include a three-year market condition where the performance measurement period is three years. Vesting of the TSR Awards is based on the Company’s level of attainment of specified TSR targets relative to the percentage appreciation of a specified index of companies for the respective three-year period and is also subject to the continued employment of the grantees. The number of shares
that are earned over the performance period ranges from 0% to 200% of the initial award. The fair value of these awards are based on a Monte Carlo simulation valuation model with the following assumptions:
Year Ended December 31,
202220212020
Expected volatility56.6 %54.0 %53.3 %
Risk-free interest rate1.7 %0.3 %0.7 %
Expected life (in years)2.82.82.8
Expected dividend yield———
A summary of TSR Award activity for 2022 is presented below:
SharesWeighted-
Average Grant
Date Fair Value Per Share
Nonvested balance at January 1, 2022590,073 $30.49 
Granted304,212 $95.31 
Vested(220,339)$39.92 
Forfeited(15,071)$31.30 
Nonvested balance at December 31, 2022658,875 $48.58 
As of December 31, 2022, there was $18.9 million of unrecognized compensation expense related to outstanding performance restricted stock which is expected to be recognized over a weighted-average period of 2.0 years.
The weighted average grant-date fair value for TSR Awards granted during the fiscal years ended December 31, 2022, 2021 and 2020 was $95.31, $31.25 and $23.43 per share, respectively. The total fair value of TSR Awards vested in fiscal years 2022, 2021 and 2020 was $8.8 million, $2.0 million and zero, respectively.
Common Stock Repurchases
In December 2022, the Company’s Board of Directors authorized the repurchase of up to $150.0 million in aggregate amount of the Company’s common stock under certain circumstances. The Company used approximately $75.0 million of the net proceeds from the Notes to repurchase shares of their common stock from purchasers of the Notes in privately negotiated transactions effected with or through one of the initial purchasers or its affiliate. The purchase price per share of the common stock repurchased in such transactions was equal to the closing sale price per share of the Company’s common stock on the date of the offering memorandum used for the Notes, which was $56.01 per share. Following this initial repurchase, The Company may from time to time repurchase additional shares of their common stock. In the year ended December 31, 2022, the Company purchased approximately 1.3 million shares of their outstanding common stock for $75.0 million as part of the program. The Company did not purchase any shares of their outstanding common stock in the years ended December 31, 2021 and 2020, respectively.