Stock-based compensation

3 Months Ended

Mar. 28, 2020

Share-based Payment Arrangement, Noncash Expense [Abstract]

Stock-based compensation

Stock-based compensation

The Company recognizes compensation expense for all share-based payments granted based on the grant-date fair value estimated in accordance with the provisions of ASC 718-10. Compensation expense is recognized on a straight-line basis over the options’ or other awards’ estimated lives for fixed awards with ratable vesting provisions.

The Company granted 188 restricted stock units ("RSUs") at a weighted average grant-date fair value of $120.94 per unit for the three months ended March 28, 2020. The Company granted 169 RSUs at a weighted average grant-date fair value of $137.71 per unit for the three months ended March 30, 2019. The Company recognized stock-based compensation costs related to the issuance of RSUs of $5,041 ($3,731 net of taxes) and $5,789 ($4,283 net of taxes) for the three months ended March 28, 2020 and March 30, 2019, respectively, which has been allocated to cost of sales and selling, general and administrative expenses. Pre-tax unrecognized compensation expense for unvested RSUs granted to employees, net of estimated forfeitures, was $17,815 as of March 28, 2020, and will be recognized as expense over a weighted-average period of approximately 2.27 years. The Company did not recognize any stock-based compensation costs related to stock options for the three months ended March 28, 2020 and March 30, 2019, respectively.