Stock Based Compensation (Tables)

9 Months Ended

Nov. 02, 2024

Share-Based Payment Arrangement [Abstract]

Non-cash stock compensation expense is as follows:


	(in thousands)
	Three Months Ended				Nine Months Ended
	November 2,		October 28,		November 2,		October 28,
Type of Non-Cash Stock Compensation	2024		2023		2024		2023
Restricted stock unit grants (a)	$	11,698	$	11,599	$	32,469	$	32,143
Stock option grants (a)		5,065		5,417		14,673		14,615
Performance stock unit grants (a)		8,647		4,629		22,154		11,034
Total (b)	$	25,410	$	21,645	$	69,296	$	57,792

(a)

Included in the line item “Selling, general and administrative expenses” in the Company’s Condensed Consolidated Statements of Income.

(b)

The amounts presented in the table above exclude taxes. For the three and nine month periods ended November 2, 2024, the tax benefit related to the Company’s non-cash stock compensation was approximately $4.4 million and $12.3 million, respectively. For the three and nine month periods ended October 28, 2023, the tax benefit related to the Company’s non-cash stock compensation was approximately $4.1 million and $10.9 million, respectively.

Stock Option Transactions

Stock option transactions during the nine month period ended November 2, 2024 are summarized as follows:


	Number of Shares			Weighted Average Exercise Price Per Share
Options outstanding, February 3, 2024		1,356,258		$	197.90
Options granted		378,728			181.10
Options exercised (a)		(172,168	)		165.93
Options forfeited		(71,451	)		208.17
Options outstanding, November 2, 2024		1,491,367			196.83

(a)

Options exercised during the nine month period ended November 2, 2024 had a total intrinsic value of $12.0 million.

Stock Options Vested and Expected to Vest

The following table summarizes information about the stock options vested and expected to vest during the contractual term of such options as of November 2, 2024:


	Options		Weighted Average Remaining Contractual Life (Years)		Weighted Average Exercise Price		Aggregate Intrinsic Value (in millions)
Options vested and expected to vest		1,491,367		7.2	$	196.83	$	80.1
Options exercisable		732,110		5.6	$	202.38	$	38.6

Weighted Average Assumptions Used to Estimate Fair Value of Each Stock Option Granted

The fair value of each stock option granted during the nine month period ended November 2, 2024 was estimated using the Black Scholes option pricing model using the following assumptions on a weighted average basis:


		Nine Months Ended
		November 2,
		2024
Risk-free interest rate		4.7%
Expected volatility		42.2%
Expected life (years)		4.0
Contractual life (years)		10.0
Expected dividend yield		0%
Grant date fair value of options issued	$	69.52

Award Grant and Vesting Transactions

Restricted stock unit transactions during the nine month period ended November 2, 2024 are summarized as follows:


	Number of Shares			Weighted Average Grant Date Fair Value Per Award
Non-vested awards outstanding, February 3, 2024		570,952		$	204.97
Awards granted		315,920			184.47
Awards vested (a)		(164,809	)		225.24
Awards forfeited		(48,605	)		194.98
Non-vested awards outstanding, November 2, 2024		673,458			191.11

(a)

Restricted stock units vested during the nine month period ended November 2, 2024 had a total intrinsic value of $31.3 million.

Performance Stock Unit Transactions

Performance stock unit transactions during the nine month period ended November 2, 2024 are summarized as follows:


	Number of Shares			Weighted Average Grant Date Fair Value Per Award
Non-vested awards outstanding, February 3, 2024		226,917		$	217.29
Awards granted		124,821			185.19
Awards vested (a)		(44,535	)		319.32
Awards forfeited		(11,820	)		216.38
Non-vested awards outstanding, November 2, 2024		295,383			188.38

(a)

Performance-based stock awards vested during the nine month period ended November 2, 2024 had a total intrinsic value of $10.1 million.