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Stock-Based Compensation (Tables) | 12 Months Ended
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Dec. 31, 2020
Summary of Activity for RSUs | The following table presents the activity for RSUs under the 2014 Plan, including the Newport Assumed RSUs and the ESI Assumed RSUs:
|  | Year Ended December 31, 2020 |
|  | RSUs |  |  | Weighted Average Grant Date Fair Value |
RSUs — beginning of period |  |  | 1,102,533 |  |  | $ | 85.93 |
Accrued dividend shares |  |  | 629 |  |  | $ | 114.35 |
Granted |  |  | 309,435 |  |  | $ | 98.72 |
Vested |  |  | (737,007 | ) |  | $ | 85.32 |
Forfeited or expired |  |  | (69,504 | ) |  | $ | 85.71 |
RSUs — end of period |  |  | 606,086 |  |  | $ | 93.26 |
Summary of Activity for SARs | At December 31, 2020, the Company’s outstanding and exercisable SARs, the weighted-average base value, the weighted average remaining contractual life and the aggregate intrinsic value thereof, were as follows:
|  | Number of Shares |  |  | Weighted Average Base Value |  |  | Weighted Average Remaining Contractual Life (years) |  |  | Aggregate Intrinsic Value |
SARs outstanding and exercisable |  |  | 51,589 |  |  | $ | 30.64 |  |  |  | 1.0 |  |  | $ | 6.2 |
Effect of Recording Stock-Based Compensation | The following table reflects the effect of recording stock-based compensation:
|  | Years Ended December 31, |
|  | 2020 |  |  | 2019 |  |  | 2018 |
Stock-based compensation expense by type of award: |  |  |  |  |  |  |  |  |  |  |  |
RSUs |  | $ | 27.0 |  |  | $ | 47.0 |  |  | $ | 24.9 |
SARs |  |  | — |  |  |  | 0.1 |  |  |  | 0.1 |
Employee stock purchase plan |  |  | 2.5 |  |  |  | 2.1 |  |  |  | 2.3 |
Total stock-based compensation |  |  | 29.5 |  |  |  | 49.2 |  |  |  | 27.3 |
Windfall tax effect on stock-based compensation |  |  | (2.2 | ) |  |  | (2.2 | ) |  |  | (8.3 | )
Net effect on net income |  | $ | 27.3 |  |  | $ | 47.0 |  |  | $ | 19.0 |
Effect on net earnings per share: |  |  |  |  |  |  |  |  |  |  |  |
Basic |  | $ | 0.50 |  |  | $ | 0.86 |  |  | $ | 0.35 |
Diluted |  | $ | 0.49 |  |  | $ | 0.85 |  |  | $ | 0.35 |
Pre-Tax Effect Within Consolidated Statements of Operations of Recording Stock-Based Compensation | The pre-tax effect within the consolidated statements of operations and comprehensive income of recording stock-based compensation was as follows:
|  | Years Ended December 31, |
|  | 2020 |  |  | 2019 |  |  | 2018 |
Cost of revenues |  | $ | 4.2 |  |  | $ | 2.8 |  |  | $ | 3.5 |
Research and development expense |  |  | 4.0 |  |  |  | 3.8 |  |  |  | 2.8 |
Selling, general and administrative expense |  |  | 20.4 |  |  |  | 20.5 |  |  |  | 21.0 |
Acquisition and integration related expense |  |  | 0.9 |  |  |  | 21.7 |  |  |  | — |
Restructuring related expense |  |  | — |  |  |  | 0.4 |  |  |  | — |
Total pre-tax stock-based compensation expense |  | $ | 29.5 |  |  | $ | 49.2 |  |  | $ | 27.3 |
Fair Value of Employee Purchase Rights Estimated using Black-Scholes Option-Pricing Model | The fair value of employee stock purchase plan rights was estimated using the Black-Scholes option-pricing model with the following weighted average assumptions:
|  | Years Ended December 31, |
Employee stock purchase plan rights: |  | 2020 |  |  | 2019 |  |  | 2018 |
Expected life (years) |  |  | 0.5 |  |  |  | 0.5 |  |  |  | 0.5 |
Risk-free interest rate |  |  | 0.9 | % |  |  | 2.4 | % |  |  | 1.8 | %
Expected volatility |  |  | 45.4 | % |  |  | 38.7 | % |  |  | 38.6 | %
Expected annual dividends per share |  | $ | 0.80 |  |  | $ | 0.80 |  |  | $ | 0.76 |
Stock Appreciation Rights (SARs) [Member] |
Summary of Activity for SARs | The following table presents the activity for SARs under the 2014 Plan, including the Newport Assumed SARs and the ESI Assumed SARs:
|  | Year Ended December 31, 2020 |
|  | Outstanding and Exercisable SARs |  |  | Weighted Average Base Value |
SARs — beginning of period |  |  | 108,854 |  |  | $ | 29.05 |
Exercised |  |  | (55,865 | ) |  | $ | 27.76 |
Forfeited or expired |  |  | (1,400 | ) |  | $ | 22.39 |
SARs — end of period |  |  | 51,589 |  |  | $ | 30.64 |

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