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Stock-Based Compensation
 3 Months Ended
Apr. 30, 2024
Share-Based Payment Arrangement [Abstract]  
Stock-Based Compensation STOCK-BASED COMPENSATION
Stock-Based Compensation Expense
The components of stock-based compensation expense recognized in the condensed consolidated statements of operations consisted of the following (in thousands):
Three Months Ended April 30,
20242023
Cost of revenue$4,869 $4,173 
Research and development17,465 14,790 
Sales and marketing18,074 12,596 
General and administrative18,145 23,990 
Total$58,553 $55,549 
Restricted Stock Units
A summary of our RSU activity is as follows:
Number of RSUWeighted-Average Grant Date Fair Value
Outstanding as of January 31, 2024
26,079,887 $20.29 
Granted8,849,358 23.96 
Released(2,183,744)20.73 
Forfeited(1,494,950)22.00 
Outstanding as of April 30, 2024
31,250,551 $21.22 
As of April 30, 2024, we had unrecognized stock-based compensation expense related to unvested RSUs of $614.8 million that is expected to be recognized on a straight-line basis over a weighted-average period of 3.1 years.
Performance Stock Units
In March 2024, we granted Performance Stock Units (PSUs) to certain executives subject to predetermined service-based and performance-based vesting conditions. These PSUs may vest from 0% to 225% of the number of target shares based on the achievement of certain financial performance metrics and will vest over a four-year period, subject to continuous service with us. During the three months ended April 30, 2024, we have recorded $0.6 million of stock-based compensation expense related to these PSUs.
A summary of our PSU activity is as follows:
Number of PSUsWeighted-Average Grant Date Fair Value
Outstanding as of January 31, 2024
1,326,570 $15.97 
Granted219,300 22.09 
Released— — 
Forfeited(61,877)15.22 
Outstanding as of April 30, 2024
1,483,993 $16.91 
As of April 30, 2024, we had unrecognized stock-based compensation expense related to unvested PSUs of $7.4 million that is expected to be recognized on a straight-line basis over a weighted-average period of 1.6 years.
Stock Options
A summary of our stock option activity is as follows:
Number of OptionsWeighted-Average Exercise Price
Outstanding as of January 31, 2024
21,159,850 $5.63 
Assumed options from PingSafe acquisition214,976 $0.25 
Exercised(2,345,516)$2.79 
Forfeited(125,319)$8.03 
Outstanding as of April 30, 2024
18,903,991 $5.90 
Vested and expected to vest as of April 30, 2024
18,903,991 $5.90 
Vested and exercisable as of April 30, 2024
14,085,693 $4.93 
As of April 30, 2024, we had unrecognized stock-based compensation expense related to unvested options of $47.5 million that is expected to be recognized on a straight-line basis over a weighted-average period of 1.8 years.
Milestone Options
As of April 30, 2024, we had unvested milestone options to purchase 1,404,605 shares of Class B common stock subject to service-based, performance-based and market-based vesting conditions to our Chief Executive Officer and Chief Financial Officer under our 2013 Equity Incentive Plan. During the three months ended April 30, 2024 and 2023, we recorded $0.9 million and $0.9 million, respectively, of stock-based compensation expense related to these milestone options. As of April 30, 2024, we had unrecognized stock-based compensation expense related to these milestone options of $8.2 million that is expected to be recognized over the remaining implied service period of 2.3 years.
Restricted Common Stock
In connection with the acquisition of PingSafe, we issued 1,497,212 shares of restricted Class A common stock. We recorded stock-based compensation expense related to these restricted shares of $3.4 million during the three months ended April 30, 2024. As of April 30, 2024, we had unrecognized stock-based compensation expense related to this unvested restricted common stock of $37.8 million.
Employee Stock Purchase Plan
We recognized stock-based compensation expense related to the Employee Stock Purchase Plan (ESPP) of $1.7 million and $3.0 million, respectively, during the three months ended April 30, 2024 and 2023.
Modification
During fiscal 2024, certain members of our management team converted to non-employee consultants or to positions that no longer provide substantive service to the Company (Management Transitions). These Management Transitions have been accounted for as modifications, under which, the exercise period of certain vested awards has been extended and a certain number of unvested awards will vest through the end of the agreements entered into in connection with the Management Transitions.
We incurred no incremental charges related to the Management Transition during the three months ended April 30, 2024. During the three months ended April 30, 2023, we recognized an incremental charge of $2.0 million.