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Stock-Based Compensation Expense and Shareholders' Equity | 3 Months Ended
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Oct. 31, 2025
Stockholders' Equity and Stock-based Compensation [Abstract] |
Stock-Based Compensation Expense and Shareholders' Equity | Stock-Based Compensation Expense and Shareholders’ Equity Stock-Based Compensation Expense Stock-based compensation expense related to stock options, Stock Awards, and ESPP purchase rights is included in the Company’s condensed consolidated statements of operations as follows (in thousands):
| Three Months Ended |  |
| October 31, |  |
| 2025 |  | 2024 |  |  |  |
Stock-based compensation expense | $ | 43,449 |  |  | $ | 38,167 |  |  |  |  |
Net impact of deferred stock-based compensation | (133) |  |  | (107) |  |  |  |  |
Total stock-based compensation expense, net | $ | 43,316 |  |  | $ | 38,060 |  |  |  |  |
Stock-based compensation expense is included in the following categories: |  |  |  |  |  |  |
Cost of subscription and support revenue | $ | 3,450 |  |  | $ | 3,140 |  |  |  |  |
Cost of license revenue | — |  |  | 36 |  |  |  |  |
Cost of services revenue | 5,700 |  |  | 4,802 |  |  |  |  |
Research and development | 11,259 |  |  | 9,824 |  |  |  |  |
Sales and marketing | 11,822 |  |  | 9,688 |  |  |  |  |
General and administrative | 11,085 |  |  | 10,570 |  |  |  |  |
Total stock-based compensation expense | $ | 43,316 |  |  | $ | 38,060 |  |  |  |  |
Total unrecognized stock-based compensation expense related to the Company’s Stock Awards and ESPP purchase rights as of October 31, 2025 is as follows:
| Unrecognized Expense (in thousands) |  | Weighted Average Expected Recognition Period (in years)
Stock Awards | 414,392 |  |  | 2.4
ESPP purchase rights | 1,598 |  |  | 0.2
Total unrecognized stock-based compensation expense | $ | 415,990 |  |  |
Stock Awards A summary of the Company’s Stock Awards activity under the Company’s equity incentive plans is as follows:
| Stock Awards Outstanding
| Number of Stock Awards |  | Weighted Average Grant Date Fair Value |  | Aggregate Intrinsic Value (in thousands)(1)
Balance as of July 31, 2025 | 2,672,857 |  |  | $ | 117.25 |  |  | $ | 604,654 |
Granted | 788,982 |  |  | $ | 234.25 |  |  |
Released | (482,304) |  |  | $ | 90.85 |  |  | $ | 121,985 |
Canceled | (20,101) |  |  | $ | 130.94 |  |  |
Balance as of October 31, 2025 | 2,959,434 |  |  | $ | 152.65 |  |  | $ | 691,442 |
Expected to vest as of October 31, 2025 | 2,959,434 |  |  | $ | 152.65 |  |  | $ | 691,442 |
(1) Aggregate intrinsic value at each period end represents the total market value of Stock Awards at the Company’s closing stock price of $233.64 and $226.22 on October 31, 2025 and July 31, 2025, respectively. Aggregate intrinsic value for released Stock Awards represents the total market value of released Stock Awards at date of release. Certain executive officers have been granted Stock Awards that cliff vest after three years, subject to continued service until such time, with the opportunity to increase the number of vested awards based on Company financial performance and, for a select number of awards, the market performance of the Company’s common stock. The fair value of the awards will be recognized over the three-year performance period and may increase or decrease depending on the estimated attainment of the Company’s financial performance criteria. The Company determined the fair value of the portion of the awards subject to the market performance of the Company’s common stock using a Monte Carlo simulation model, which included the following assumptions:
| Three Months Ended |  |
| October 31, |  |
| 2025 |  | 2024 |  |
Performance period | * |  | September 11, 2024 to September 11, 2027 |  |
3-year historical volatility | * |  | 36.0% |  |
3-year risk free rate | * |  | 3.4% |  |
*No Stock Awards subject to a market performance condition were granted during the three months ended October 31, 2025. For the portion of the award subject to the market performance of the Company’s common stock, stock-based compensation expense is recognized over the requisite service period regardless of whether or not the market condition is ultimately satisfied, subject to continued service over the period. The Company recognized stock-based compensation related to PSUs of $7.6 million and $6.3 million during the three months ended October 31, 2025 and 2024, respectively. Stock Options A summary of stock option activity under the Company’s equity incentive plans is as follows:
| Number of Stock Options Outstanding |  | Weighted Average Exercise Price |  | Weighted Average Remaining Contractual Life |  | Aggregate Intrinsic Value(1)
|  |  |  |  | (in years) |  | (in thousands)
Balance as of July 31, 2025 | 109,958 |  |  | $ | 64.09 |  |  | 6.8 |  | $ | 17,828 |
Granted | — |  |  | $ | — |  |  |  |  |
Exercised | (6,171) |  |  | $ | 66.88 |  |  |  |  | $ | 1,152 |
Canceled | — |  |  | $ | — |  |  |  |  |
Balance as of October 31, 2025 | 103,787 |  |  | $ | 63.92 |  |  | 6.5 |  | $ | 17,614 |
Vested and expected to vest as of October 31, 2025 | 103,787 |  |  | $ | 63.92 |  |  | 6.5 |  | $ | 17,614 |
Exercisable as of October 31, 2025 | 103,787 |  |  | $ | 63.92 |  |  | 6.5 |  | $ | 17,614 |
(1) Aggregate intrinsic value at each period end represents the difference between the Company’s closing stock price of $233.64 and $226.22 on October 31, 2025 and July 31, 2025, respectively, and the exercise price of outstanding options. Aggregate intrinsic value for exercised options represents the difference between the Company’s stock price at date of exercise and the exercise price. Share Repurchase Program In September 2022, the Co mpany’s board of directors authorized and approved a share repurchase program of up to $400.0 million of the Company’s outsta nding common stock. Share repurchases under the program may be made from time to time, in the open market, in privately negotiated transactions and otherwise, at the discretion of management of the Company and in accordance with applicable federal securities laws, including Rule 10b-18 of the Exchange Act, and other applicable legal requirements. Such repurchases may also be made in compliance with Rule 10b5-1 trading plans entered into by the Company. During the three months ended October 31, 2025 and 2024, the Company did not repurchase any shares of common stock. As of October 31, 2025, $138.2 million remained available for future share repurchases subject to our compliance with the terms of the Credit Agreement.

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- Definition Stockholders' equity and stock-based compensation. + References No definition available. + Details
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- Definition The entire disclosure for shareholders' equity and share-based payment arrangement. Includes, but is not limited to, disclosure of policy and terms of share-based payment arrangement, deferred compensation arrangement, and employee stock purchase plan (ESPP). + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 718 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/718/tableOfContent Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 505 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/505/tableOfContent + Details
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