Stock-Based Compensation and Share Repurchase Programs

3 Months Ended

Mar. 31, 2023

Share-Based Payment Arrangement [Abstract]

Stock-Based Compensation and Share Repurchase Programs

Stock-Based Compensation

The following table presents the components and classification of stock-based compensation expense for the three months ended March 31, 2023 and 2022 as follows (in millions):


	Three Months Ended March 31,
		2023		2022
Options		$	36	$	25
Restricted Common Stock (RSUs) and Performance Stock Units (PSUs)		37		17
Employee Stock Purchase Plan (ESPP)		2		2
Total		$	75	$	44

Cost of sales		$	5	$	8
Research and development		42		20
Selling, general and administrative		28		16
Total		$	75	$	44

As of March 31, 2023, there was $789 million of total unrecognized compensation cost related to unvested stock-based compensation with respect to options, RSUs and PSUs granted. That cost is expected to be recognized over a weighted-average period of 3.2 years at March 31, 2023.

Share Repurchase Programs

As of March 31, 2023, $2.3 billion of our Board of Directors’ authorization for repurchases of our common stock remains outstanding (the 2022 Repurchase Programs), with no expiration date. The timing and actual number of shares repurchased under the 2022 Repurchase Programs will depend on a variety of factors, including price, general business and market conditions, and other investment opportunities, and shares may be repurchased through open market purchases through the use of trading plans intended to qualify under Rule 10b5-1 under the Securities Exchange Act of 1934, as amended.

The following table summarizes activity related to our share repurchase programs for the three months ended March 31, 2023 (in millions, except per share data):


	Three Months Ended March 31,
	2023
Number of shares repurchased	4
Average price per share (1)	$	145.31
Aggregate purchase price	$	526
Remaining authorization at end of period	$	2,291

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(1) Average price paid per share includes related expenses and excise tax.