Stock-Based Compensation (Tables)

9 Months Ended

Mar. 31, 2021

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Summary of options Activity

The following is a summary of options activity for the nine months ended March 31, 2021:

				Weighted-Average
				Remaining	Aggregate
	Number of	Weighted-Average		Contractual Life	Intrinsic Value
	Options	Exercise Price		(in years)	(in thousands)
Outstanding as of July 1, 2020	1,439,630	$	31.95
Granted	281,075		32.03
Exercised	(45,136)		23.66
Forfeited	(1,288)		49.05
Expired	(35,050)		41.84
Outstanding as of March 31, 2021	1,639,231		31.99	6.45	$	14,246
Exercisable as of March 31, 2021	985,701	$	29.24	5.28	$	11,093

Fair Values of Stock Option Awards Estimated Weighted Average Assumptions

The fair value of Adtalem’s stock option grants was estimated assuming the following weighted-average assumptions:

	Fiscal Year
	2021		2020
Expected life (in years)	6.54		6.51
Expected volatility	39.27	%	37.66	%
Risk-free interest rate	0.45	%	1.40	%
Dividend yield	0.00	%	0.00	%

Summary of Restricted Stock Units Activity

The following is a summary of RSU activity for the nine months ended March 31, 2021:

		Weighted-Average
	Number of	Grant Date
	RSUs	Fair Value
Outstanding as of July 1, 2020	767,973	$	39.42
Granted	564,900		30.62
Vested	(366,852)		34.95
Forfeited	(38,619)		38.13
Outstanding as of March 31, 2021	927,402	$	35.88

Total Stock-Based Compensation Expense Included in Consolidated Statement of Earnings

The following table shows total stock-based compensation expense included in the Consolidated Statements of Income (in thousands):

	Three Months Ended				Nine Months Ended
	March 31,				March 31,
	2021		2020		2021		2020
Cost of educational services	$	338	$	260	$	1,076	$	1,027
Student services and administrative expense		3,257		2,521		10,171		10,301
		3,595		2,781		11,247		11,328
Income tax benefit		(910)		(642)		(2,077)		(3,887)
Net stock-based compensation expense	$	2,685	$	2,139	$	9,170	$	7,441