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Stock-Based Compensation (Tables)
 12 Months Ended
Jan. 31, 2023
Share-Based Payment Arrangement [Abstract]  
Summary of Stock Option Activity
A summary of the Company’s stock option activity for the Plan for year ended January 31, 2023 is as follows:
Number of Stock Options OutstandingWeighted Average Exercise PriceWeighted Average Remaining Contractual LifeAggregate Intrinsic Value
(in thousands)(in years)(in thousands)
Balance as of January 31, 2022
44,355 $6.23 7.8$226,504 
Exercised(5,392)4.60 
Cancelled/forfeited(5,902)8.40 
Expired(12)4.24 
Balance as of January 31, 2023
33,049 $6.11 6.6$135,831 
Exercisable as of January 31, 2023
23,808 $5.49 6.3$110,167 
Vested and expected to vest as of January 31, 2023
31,218 $5.91 6.5$133,364 
Year Ended January 31,
202320222021
Intrinsic value of options exercised$32,391 $83,387 $51,952 
Estimated grant date fair value of options vested in the period$32,085 $29,256 $14,900 
Summary of Assumptions Used to Estimate Fair Value of Options Granted to Employees The following assumptions were used to estimate the fair value of options granted to employees for the years ended January 31, 2022 and 2021:
Year Ended January 31,
20222021
Expected term (in years)6.06.1
Risk-free interest rate
0.9% - 1.4%
0.3% - 0.8%
Expected volatility
50.9% - 52.1%
42.3% - 45.5%
Expected dividend rate0%0%
Fair value of common stock
$10.96 - $14.02
$4.93 - $9.07
The fair value of the share purchase rights granted under the ESPP during the year ended January 31, 2023 was estimated on the date of grant using the Black-Scholes option pricing model with the following assumptions:
Year Ended January 31,
20232022
Expected term (in years)
0.5 - 1.0
0.5 - 1.0
Risk-free interest rate
2.2% - 4.6%
0.1% - 0.3%
Expected volatility
66.2% - 81.9%
49.3% - 57.0%
Expected dividend rate
0%
0%
Fair value of common stock
$8.84 - $9.84
$14.27 - $22.37
Summary of RSU Award Activity
A summary of the Company’s RSU activity was as follows:
(in thousands except per share data)Number of Restricted Stock Units OutstandingWeighted Average Grant Date Fair Value
Balance as of January 31, 2022
1,730$14.67 
Granted9,69012.12 
Released(622)14.17 
Cancelled/forfeited(1,398)13.74 
Balance as of January 31, 2023
9,400$12.23 
Summary of Stock-based Compensation Expense
Stock-based compensation expense included in operating results was allocated as follows:
Year Ended January 31,
(in thousands)202320222021
Cost of subscription$1,528 $1,794 $2,012 
Cost of professional2,249 2,448 1,658 
Research and development10,678 6,417 4,804 
Sales and marketing26,651 19,929 14,976 
General and administrative (1)
14,411 19,543 21,619 
Stock-based compensation, net of amounts capitalized55,517 50,131 45,069 
Capitalized stock-based compensation2,540 696 — 
Total stock-based compensation$58,057 $50,827 $45,069 
Year Ended January 31,
(in thousands)202320222021
Equity classified awards (2)
$57,057 $49,827 $44,159 
Other awards (3)
1,000 1,000 910 
Total stock-based compensation$58,057 $50,827 $45,069 
Year Ended January 31,
(in thousands)202320222021
Stock options (4)
$23,454 $36,385 $14,896 
Performance-based stock units (5)
(55)897 19 
Restricted stock units (4)
24,963 3,196 555 
Employee stock purchase plan8,695 6,142 — 
Deferred stock compensation plan— 3,206 7,171 
Secondary stock sale— — 16,331 
Tender offer transaction— — 5,187 
Total stock-based compensation$57,057 $49,827 $44,159 
(1) For the fiscal years ended January 31, 2023, 2022 and 2021 the net impact of stock-based compensation related to modifications was immaterial.
(2) Expense associated with equity-classified awards includes $8.6 million and $6.1 million of ESPP expense recognized during the years ended January 31, 2023 and 2022, respectively. For the year ended January 31, 2021, it includes $16.3 million recognized in connection with the secondary stock sale and $5.2 million recognized in connection with the tender offer transaction.
(3) Non-employee grant recorded over five years, representing the same period and in the same manner as if the grantor had paid cash for the services instead of paying with or using the share-based payment award.
(4) Stock-based compensation for the year ended January 31, 2022 includes the acceleration of the expense recognized upon the effectiveness of the Company’s registration statement for the Chief Executive Officer’s performance-based stock options. Similarly, the acceleration of the expense for performance-based RSUs upon the effectiveness of the Company’s registration statement is captured within the stock-based compensation for RSUs for the year ended January 31, 2022.
(5) The stock-based compensation for performance-based stock units during the year ended January 31, 2023 includes the impact of stock-based compensation modifications.
Summary of Unrecognized Compensation Cost Related to Unvested Awards Not Yet Recognized
As of January 31, 2023, total unrecognized compensation cost related to unvested awards not yet recognized under all equity compensation plans, was as follows:
January 31, 2023
(in thousands)Unrecognized ExpenseWeighted Average Expense Recognition Period (in years)
Stock options$28,296 2.1
Performance share units$854 2.1
Restricted stock units$64,674 3.2
ESPP$3,764 1.0