Stock-Based Compensation (Tables)

12 Months Ended

Dec. 31, 2021

Share-based Payment Arrangement [Abstract]

Schedule of Fair Value Assumptions

The fair value of stock options that the Company assumed in connection with the acquisition of Ingersoll Rand Industrial was estimated using the Black-Scholes model with the following assumptions.

Converted Stock Option Awards Assumptions:
Expected life of options (in years)	2.0 - 3.6
Risk-free interest rate	0.9	%
Assumed volatility	34.2	%
Expected dividend rate	0.0	%

The following assumptions were used to estimate the fair value of options granted during the years ended December 31, 2021, 2020 and 2019.

	2021	2020		2019
Expected life of options (in years)	6.3	6.3		6.3
Risk-free interest rate	0.9% - 1.3%	0.4% - 1.5%		1.7% - 2.6%
Assumed volatility	38.6% - 39.4%	24.6% - 41.1%		24.8% - 31.8%
Expected dividend rate	0.0% - 0.1%	0.0	%	0.0	%

The following assumptions were used to estimate the fair value of performance share units granted during the year ended December 31, 2021 and 2020 using the Monte Carlo simulation pricing model.

	2021		2020
Expected term (in years)	2.9		2.8
Risk-free interest rate	0.2	%	0.5	%
Assumed volatility	36.9	%	35.2	%
Expected dividend rate	0.0	%	0.0	%

Schedule of Stock-based Compensation Expense

Stock-based compensation expense for the years ended December 31, 2021, 2020 and 2019 are included in “Cost of sales” and “Selling and administrative expenses” in the Consolidated Statements of Operations and are as follows.

	2021		2020		2019
Stock-based compensation expense recognized in:
Continuing operations	$	87.2	$	47.5	$	18.7
Discontinued operations	10.9		3.8		0.5
Total stock-based compensation expense	$	98.1	$	51.3	$	19.2

Schedule of Stock Option Activity

A summary of the Company’s stock option (including SARs) activity for the year ended December 31, 2021 is presented in the following table (underlying shares in thousands).

	Shares	Weighted-Average Exercise Price (per share)		Wtd. Avg. Remaining Contractual Term (years)	Aggregate Intrinsic Value of In-The-Money Options (in millions)
Outstanding at December 31, 2020	7,742	$	18.47
Granted	795	45.78
Exercised or Settled	(1,530)	16.11
Forfeited	(255)	30.77
Expired	(6)	13.01
Outstanding at December 31, 2021	6,746	21.76		5.7	$	268.7
Vested at December 31, 2021	4,351	15.89		4.4	$	198.2

Schedule of Restricted Stock Unit Activity

A summary of the Company’s restricted stock unit activity for the year ended December 31, 2021 is presented in the following table (underlying shares in thousands).

	Shares	Weighted-Average Grant-Date Fair Value
Non-vested as of December 31, 2020	5,546	$	33.09
Granted	340	45.76
Vested	(2,542)	33.44
Forfeited	(667)	34.27
Non-vested as of December 31, 2021	2,677	34.08

Schedule of Performance Stock Unit Activity

A summary of the Company’s performance stock unit activity for the year ended December 31, 2021 is presented in the following table (underlying shares in thousands).

	Shares	Weighted-Average Grant-Date Fair Value
Non-vested as of December 31, 2020	255	$	29.72
Granted	158	55.84
Vested	—	—
Forfeited	(20)	36.36
Non-vested as of December 31, 2021	393	39.89