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Stockholders' Equity (Tables)
 12 Months Ended
Jul. 31, 2023
Share-Based Payment Arrangement [Abstract]  
Total share-based compensation expense
The following table summarizes the total share-based compensation expense that we recorded in operating income for the periods shown.
 Twelve Months Ended July 31,
(In millions except per share amounts)202320222021
Cost of product revenue$3 $2 $1 
Cost of service and other revenue371 144 68 
Selling and marketing429 309 183 
Research and development532 521 281 
General and administrative377 332 220 
Total share-based compensation expense 1,712 1,308 753 
Income tax benefit(373)(396)(269)
Decrease in net income$1,339 $912 $484 
Decrease in net income per share:   
Basic$4.77 $3.26 $1.79 
Diluted$4.73 $3.21 $1.77 
Assumptions to estimate the fair value of stock options granted and shares purchased under Employee Stock Purchase Plan
We used the following assumptions to estimate the fair value of stock options granted and shares purchased under our Employee Stock Purchase Plan for the periods indicated:
 Twelve Months Ended July 31,
202320222021
Assumptions for stock options:  
Expected volatility (range)
30.41% - 33.19%
35 %29 %
Weighted-average expected volatility30.67 %35 %29 %
Risk-free interest rate (range)
3.52% - 4.46%
2.73 %0.62 %
Expected dividend yield0.63 %0.61 %0.45 %
Assumptions for ESPP:   
Expected volatility (range)
38% - 48%
26% - 39%
31% - 36%
Weighted-average expected volatility42 %23 %34 %
Risk-free interest rate (range)
1.59% - 4.74%
0.04% - 0.44%
0.02% - 0.17%
Expected dividend yield (range)
0.74% - 0.81%
0.47% - 0.59%
0.60% - 0.75%
Share-based awards available for grant
A summary of share-based awards available for grant under our plans for the fiscal periods indicated was as follows:
(Shares in thousands)Shares
Available
for Grant
Balance at July 31, 202018,047 
Shares available for grant under the Credit Karma Plan4,298 
Restricted stock units granted (1)
(9,191)
Options granted(323)
Share-based awards canceled/forfeited/expired (1)(2)
4,020 
Balance at July 31, 202116,851 
Additional shares authorized19,903 
Restricted stock units granted (1)
(14,868)
Options granted(400)
Share-based awards canceled/forfeited/expired (1)(2)
4,774 
Balance at July 31, 202226,260 
Restricted stock units granted (1)
(12,098)
Options granted(413)
Share-based awards canceled/forfeited/expired (1)(2)
5,277 
Balance at July 31, 202319,026 
(1)RSUs granted from the pool of shares available for grant under our Restated 2005 Plan reduce the pool by 2.3 shares for each share granted. RSUs forfeited and returned to the pool of shares available for grant under the Restated 2005 Plan increase the pool by 2.3 shares for each share forfeited. Through January 20, 2022, shares granted from the Credit Karma Plan reduce the pool by one share for each share granted and shares forfeited and returned to the pool from the Credit Karma Plan increase the pool by one share for each share forfeited. Beginning January 20, 2022, shares forfeited and returned to the pool from the Credit Karma Plan increase the pool by 2.3 shares for each share forfeited. No shares were granted from the Credit Karma Plan after January 20, 2022.
(2)Stock options and RSUs canceled, expired, or forfeited under our Restated 2005 Plan and Credit Karma Plan are returned to the pool of shares available for grant. Under the Restated 2005 Plan, shares withheld for income taxes upon vesting of RSUs that were granted on or after July 21, 2016 are also returned to the pool of shares available for grant. Stock options and RSUs canceled, expired, or forfeited under older expired plans are not returned to the pool of shares available for grant. Under the Credit Karma Plan, shares withheld for income taxes are also returned to the pool of shares available for grant.
Summary of restricted stock unit activity
A summary of RSU and restricted stock activity for the periods indicated was as follows:
(Shares in thousands)Number
of Shares		Weighted
Average
Grant Date
Fair Value
Nonvested at July 31, 20205,664 $231.97 
Assumed through acquisition1,998 355.49 
Granted(1)
3,877 431.82 
Restricted stock subject to revest provisions issued in connection with acquisition775 355.49 
Vested(2,242)262.23 
Forfeited(1,034)251.41 
Nonvested at July 31, 20219,038 345.86 
Granted(2)
6,634 466.12 
Vested(3,154)351.80 
Forfeited(1,051)351.15 
Nonvested at July 31, 202211,467 413.32 
Granted5,260 452.45 
Vested(4,019)414.12 
Forfeited(814)364.45 
Nonvested at July 31, 202311,894 $433.70 
(1)This includes 809,000 RSUs granted to employees of Credit Karma in connection with the acquisition with a grant date fair value of $300 million. See Note 7, “Business Combinations.”
(2)This includes approximately 583,000 RSUs granted to employees of Mailchimp in substitution of outstanding equity incentive awards with a grant date fair value of $355 million and approximately 325,000 RSUs granted to employees of Mailchimp in connection with the acquisition with a grant date fair value of $211 million. See Note 7, “Business Combinations.”
Additional information regarding RSUs
Additional information regarding our RSUs is shown in the table below.
Twelve Months Ended July 31,
(In millions)202320222021
Total fair market value of shares vested$1,673 $1,658 $942 
Share-based compensation for RSUs$1,636 $1,248 $708 
Total tax benefit related to RSU share-based compensation expense$339 $375 $225 
Cash tax benefits realized for tax deductions for RSUs$347 $334 $221 
Stock option activity
A summary of stock option activity for the periods indicated was as follows:
 Options Outstanding
(Shares in thousands)Number of
Shares		Weighted Average
Exercise Price
Per Share
Balance at July 31, 20202,681 $185.83 
Granted323 525.51 
Exercised(718)128.39 
Canceled or expired(82)264.53 
Balance at July 31, 20212,204 251.48 
Granted400 448.59 
Exercised(242)164.94 
Canceled or expired(70)426.22 
Balance at July 31, 20222,292 289.62 
Granted413 489.85 
Exercised(551)163.64 
Canceled or expired(24)368.72 
Balance at July 31, 20232,130 $360.17 
Stock options outstanding
Information regarding stock options outstanding as of July 31, 2023 is summarized below:
Number
of Shares
(in thousands)		Weighted-
Average
Remaining
Contractual
Life
(in years)		Weighted-
Average
Exercise
Price per
Share		Aggregate
Intrinsic
Value
(in millions)
Options outstanding2,130 4.26$360.17 $327 
Options exercisable1,205 2.84$278.28 $283 
Additional information regarding stock options and ESPP shares
Additional information regarding our stock options and ESPP shares is shown in the table below.
Twelve Months Ended July 31,
(In millions except per share amounts)202320222021
Weighted-average fair value of options granted (per share)$144.92 $136.76 $122.16 
Total grant date fair value of options vested$33 $25 $17 
Aggregate intrinsic value of options exercised$150 $78 $179 
Share-based compensation expense for stock options and ESPP$76 $60 $45 
Total tax benefit for stock option and ESPP share-based compensation$34 $21 $44 
Cash received from option exercises$90 $40 $92 
Cash tax benefits realized related to tax deductions for non-qualified option exercises and disqualifying dispositions under all share-based payment arrangements$31 $37 $48 
Components of accumulated other comprehensive loss, net of income taxes
The following table shows the components of accumulated other comprehensive loss, net of income taxes, in the stockholders’ equity section of our consolidated balance sheets at the dates indicated.
July 31,
(In millions)20232022
Unrealized loss on available-for-sale debt securities$(7)$(7)
Foreign currency translation adjustments(48)(53)
Total accumulated other comprehensive loss$(55)$(60)