NET (LOSS) INCOME PER SHARE

9 Months Ended

Sep. 30, 2022

The computation of net (loss) income per share is as follows (in thousands, except per share amounts):


	Three Months Ended September 30,				Nine Months Ended September 30,
	2022		2021		2022		2021
Basic net (loss) income per share:
Numerator
Net (loss) income	$	(544,635)	$	406,100	$	(2,067,948)	$	2,783,912
Less: Income allocated to participating securities	—		(3,757)		—		(542,122)

Net (loss) income attributable to common stockholders, basic	$	(544,635)	$	402,343	$	(2,067,948)	$	2,241,790

Denominator
Weighted-average shares of common stock used to compute net (loss) income per share attributable to common stockholders, basic	223,916		209,604		220,816		165,045
Net (loss) income per share attributable to common stockholders, basic	$	(2.43)	$	1.92	$	(9.37)	$	13.58

Diluted net (loss) income per share:
Numerator
Net (loss) income	$	(544,635)	$	406,100	$	(2,067,948)	$	2,783,912
Less: Income allocated to participating securities	—		(3,167)		—		(448,463)
Add: Interest on convertible notes, net of tax	—		3,087		—		3,638
Less: Fair value gain on contingent consideration arrangement, net of tax	—		(680)		(5,395)		(680)
Net (loss) income attributable to common stockholders, diluted	$	(544,635)	$	405,340	$	(2,073,343)	$	2,338,407

Denominator
Weighted-average shares of common stock used to compute net (loss) income per share attributable to common stockholders, basic	223,916		209,604		220,816		165,045
Weighted-average effect of potentially dilutive securities:
Stock options	—		33,122		—		38,419
RSUs	—		3,924		—		3,604
Restricted common stock	—		5		—		3
Warrants	—		—		—		97
Convertible notes	—		3,880		—		1,883
Contingent consideration	—		1		40		1
Weighted-average shares of common stock used to compute net (loss) income per share attributable to common stockholders, diluted	223,916		250,536		220,856		209,052

Net (loss) income per share attributable to common stockholders, diluted	$	(2.43)	$	1.62	$	(9.39)	$	11.19

Certain shares of restricted Class A common stock granted as consideration in acquisitions and the Company’s convertible preferred stock outstanding during 2021 are participating securities. These participating securities do not contractually require the holders of such shares to participate in the Company’s losses.

The rights, including the liquidation and dividend rights, of the holders of Class A common stock and Class B common stock are identical, except with respect to voting. As a result, the undistributed earnings are allocated on a proportionate basis and the resulting income (loss) per share will, therefore, be the same for both Class A common stock and Class B common stock on an individual or combined basis.

The following potentially dilutive shares were not included in the calculation of diluted shares outstanding as the effect would have been anti-dilutive (in thousands):


	Three Months Ended September 30		Nine Months Ended September 30
	2022	2021	2022	2021
Stock options	33,411	6,134	33,411	6,134
RSUs	6,854	107	6,854	107
Convertible notes	3,880	—	3,880	—
Restricted common stock	1,740	65	1,740	65
ESPP	1,030	284	1,030	284
Contingent consideration	76	—	—	—
Total	46,991	6,590	46,915	6,590