NOTE
E - STOCK PLAN
The
Company has reserved 10,000,000 shares of common stock for issuance to employees or consultants from the RetinalGenix Technologies Inc.
2017 Equity Incentive Plan (the “Plan”). The Company may grant stock options, restricted stock or other types of equity incentive
instruments under the Plan.
The
Company recognized $54,734 and $391,954 of stock-based compensation expense during the years ended December 31, 2025 and 2024, respectively,
related to stock options which is included in the accompanying consolidated statements of operations. As of December 31, 2025, there
was no unrecognized compensation expense related to non-vested stock options granted under the Plan.
At
December 31, 2025, there were 7,290,000 shares available to be issued under the Plan. The intrinsic value of such outstanding and vested
stock options is approximately $427,000 at December 31, 2025. The following table summarizes stock option activity of the Plan through
December 31, 2025:
SCHEDULE OF STOCK OPTION ACTIVITY
| | |
Options
Issued | | |
Weighted-Average
Exercise
Price | |
| | |
| | |
| |
| Options outstanding – December 31, 2023 | |
| 2,585,000 | | |
$ | 1.23 | |
| Granted | |
| 50,000 | | |
| 3.00 | |
| Canceled | |
| - | | |
| - | |
| Expired | |
| (50,000 | ) | |
| - | |
| Exercised | |
| (170,000 | ) | |
| 1.24 | |
| Options outstanding – December 31, 2024 | |
| 2,415,000 | | |
$ | 1.27 | |
| Granted | |
| - | | |
| - | |
| Canceled | |
| - | | |
| - | |
| Expired | |
| (1,635,000 | ) | |
| 1.00 | |
| Exercised | |
| - | | |
| - | |
| Options outstanding – December 31,
2025 | |
| 780,000 | | |
$ | 1.72 | |
Additional
information regarding the exercisable options and average remaining contractual life of the options outstanding as of December 31, 2025
is as follows:
SCHEDULE OF STOCK OPTIONS OUTSTANDING AND EXERCISABLE
| Exercise
Price | | |
Number
Outstanding | | |
Weighted
Average
Remaining
Contractual Life | |
Number
Exercisable at December
31, 2025 | |
| $ | 1.00 | | |
| 500,000 | | |
6.0 Years | |
| 500,000 | |
| | 3.00 | | |
| 280,000 | | |
2.0 Years | |
| 280,000 | |
| | | | |
| 780,000 | | |
| |
| 780,000 | |
The
fair value of each option grant was estimated on the date of grant to be $2.11 per share using the Black-Scholes option-pricing model
with the following assumption weighted-average in 2024:
SCHEDULE OF STOCK OPTIONS FAIR VALUE ASSUMPTIONS
| Risk-free interest rates | |
| 3.08 | % |
| Expected life in years | |
| 5.0 | |
| Expected volatility | |
| 90 | % |
| Expected dividend yield | |
| 0 | % |
| Fair value of common stock | |
$ | 2.25 | |
The
risk-free interest rate assumption is determined using the yield currently available on U.S. Treasury zero-coupon issues with a remaining
term commensurate with the expected term of the award. Management has estimated expected volatility based on similar comparable industry
sector averages. Expected life of the option represents the period of time options are expected to be outstanding. The estimate for dividend
yield is 0% because the Company has not historically paid, and does not intend to pay a dividend on its common stock in the foreseeable
future.
|