Employee Stock Purchase Plan, Stock Options and Warrants (Tables)
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12 Months Ended |
Dec. 31, 2024 |
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| Share-based Payment Arrangement [Abstract] |
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| Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs |
The stock-based compensation expense before income tax expense for the years ended December 31, 2024, 2023 and 2022, consisted of the following (in thousands): | | | | | | | | | | | | 2024 | | 2023 | | 2022 | Cost of sales | | | | | | | | | | Nonqualified stock options | | $ | 1,229 | | $ | 1,647 | | $ | 1,606 | Research and development | | | | | | | | | | Nonqualified stock options | | | 1,522 | | | 1,739 | | | 1,789 | Selling, general and administrative | | | | | | | | | | Nonqualified stock options | | | 6,206 | | | 7,542 | | | 7,305 | Performance-based restricted stock units | | | 12,517 | | | 6,344 | | | 3,509 | Restricted stock units | | | 4,279 | | | 1,771 | | | 1,836 | Cash-settled performance-based awards | | | 2,720 | | | 2,290 | | | 1,997 | Total selling, general and administrative | | | 25,722 | | | 17,947 | | | 14,647 | | | | | | | | | | | Stock-based compensation expense before taxes | | $ | 28,473 | | $ | 21,333 | | $ | 18,042 |
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| Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions |
In applying the Black-Scholes methodology to the option grants, the fair value of our stock-based awards granted was estimated using the following assumptions for the years ended December 31, 2023 and 2022: | | | | | | | 2023 | | 2022 | Risk-free interest rate | | 3.6% - 4.8% | | 1.4% - 4.3% | Expected option term | | 4.0 years | | 4.0 years | Expected dividend yield | | — | | — | Expected price volatility | | 39.6% - 47.1% | | 46.2% - 47.5% |
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| Schedule of Share-based Compensation, Stock Option Activity |
The table below presents information related to stock option activity for the years ended December 31, 2024, 2023 and 2022 (in thousands): | | | | | | | | | | | | 2024 | | 2023 | | 2022 | Total intrinsic value of stock options exercised | | $ | 36,431 | | $ | 23,300 | | $ | 27,110 | Cash received from stock option exercises | | | 39,746 | | | 14,503 | | | 18,952 | Excess tax benefit from the exercise of stock options | | | 1,817 | | | 3,001 | | | 3,423 |
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| Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Outstanding and Exercisable |
Changes in stock options for the year ended December 31, 2024, consisted of the following (shares and intrinsic value in thousands): | | | | | | | | | | | | | Number | | Weighted Average | | Remaining Contractual | | Intrinsic | | | of Shares | | Exercise Price | | Term (in years) | | Value | Beginning balance | | 2,868 | | | 56.39 | | | | | | Granted | | — | | | — | | | | | | Exercised | | (824) | | | 48.21 | | | | | | Forfeited/expired | | (21) | | | 66.61 | | | | | | Outstanding at December 31 | | 2,023 | | | 59.62 | | 3.05 | | $ | 75,055 | Exercisable | | 1,411 | | | 55.87 | | 2.35 | | | 57,639 | Ending vested and expected to vest | | 1,997 | | | 59.49 | | 3.02 | | | 74,372 |
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| Schedule of Share-based Compensation, PSUs and RSUs, Activity |
Changes in PSUs and RSUs for the year ended December 31, 2024, consisted of the following: | | | | | | | | | | | | | PSUs | | RSUs | | | | | Weighted Average | | | | Weighted Average | | | Stock Units | | Grant Date | | Stock Units | | Grant Date | | | (In Thousands) | (1) | Fair Value | | (In Thousands) | | Fair Value | Beginning nonvested balance | | 355 | | | 71.15 | | 20 | | | 83.99 | Granted | | 287 | | | 86.79 | | 329 | | | 90.54 | Vested | | (47) | | | 76.51 | | (20) | | | 83.99 | Nonvested balance at December 31 | | 595 | | | 82.33 | | 329 | | | 90.54 |
| (1) | Based on the maximum payout, excluding the impact of the rTSR multiplier. The actual number of shares which vest is determined based on the satisfaction of performance conditions and the application of an rTSR multiplier between 75% and 125%. |
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| Schedule of Share-based Compensation, PSUs and RSUs Granted |
The following table summarizes PSUs and RSUs granted during the years ended December 31, 2024, 2023 and 2022 (units and shares in thousands): | | | | | | | | | | | | | 2024 | | 2023 | | 2022 | | PSUs | | | | | | | | | | | Target units granted | | | 144 | | | 115 | | | 48 | | Maximum units granted (1) | | | 287 | | | 229 | | | 97 | | Maximum potential shares (1)(2) | | | 359 | | | 287 | | | 121 | | Weighted average grant date fair value | | $ | 86.79 | | $ | 72.26 | | $ | 64.54 | | RSUs | | | | | | | | | | | Units granted | | | 329 | | | 20 | | | 31 | | Weighted average grant date fair value | | $ | 90.54 | | $ | 83.99 | | $ | 59.02 | |
| (1) | Based on the maximum payout, excluding the impact of the rTSR multiplier. |
| (2) | Includes the impact of the maximum potential rTSR multiplier of 125%. |
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| Schedule of Share-based Payment Award, PSUs, Valuation Assumptions |
The fair value of each PSU was estimated as of the grant date using the following assumptions for awards granted in the years ended December 31, 2024, 2023 and 2022: | | | | | | | | | 2024 | | 2023 | | 2022 | Risk-free interest rate | | 4.4% | | 3.9% - 4.6% | | 1.6% - 2.7% | Performance period | | 2.8 years | | 2.8 years | | 2.6 - 2.8 years | Expected dividend yield | | — | | — | | — | Expected price volatility | | 31.1% | | 31.4% - 32.6% | | 38.5% - 46.2% |
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