Stock-Based Compensation

3 Months Ended

Mar. 31, 2020

Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]

Note 7—Stock-Based Compensation

Stock-Based Compensation Expense

Stock-based compensation expense recorded in the condensed consolidated statements of income was as follows (in thousands):

	Three Months Ended
	March 31,
	2020		2019
Platform operations	$	1,462	$	1,056
Sales and marketing		5,314		3,227
Technology and development		8,590		4,936
General and administrative		7,599		6,650
Total	$	22,965	$	15,869

Stock Options

The following summarizes stock option activity:

	Shares Under Option (in thousands)			Weighted- Average Exercise Price
Outstanding as of December 31, 2019		4,064		$	70.74
Granted		46			269.45
Exercised		(539	)		35.91
Cancelled		(34	)		139.02
Outstanding as of March 31, 2020		3,537		$	77.97
Exercisable as of March 31, 2020		1,624		$	40.82

On January 1, 2020, the number of shares authorized for grant under the Company’s 2016 Incentive Award Plan was increased by 1.8 million shares in accordance with plan provisions.

Restricted Stock

The following summarizes restricted stock activity:

	Shares (in thousands)			Weighted- Average Grant Date Fair Value
Unvested as of December 31, 2019		457		$	120.65
Granted		19			265.32
Vested		(45	)		115.68
Forfeited		(9	)		202.87
Unvested as of March 31, 2020		422		$	125.81

Employee Stock Purchase Plan (“ESPP”)

Stock-based compensation expense related to the ESPP totaled $7.8 million and $4.0 million for the three months ended March 31, 2020 and 2019, respectively.

On January 1, 2020, the number of shares available for issuance under the Company’s ESPP was increased by 0.5 million shares in accordance with plan provisions.