Note 3 - Net Income Per Share

3 Months Ended

Mar. 31, 2021

Basic net income per share is computed by dividing net income by the weighted-average number of common shares outstanding, while diluted net income per share is computed by dividing net income attributable to common stockholders by the sum of the weighted-average number of common shares outstanding and the weighted-average number of dilutive potential common shares. Dilutive potential common shares relate to our share-based compensation arrangements.

The calculation of basic and diluted net income per share is as follows.


	Three Months Ended March 31,
(In thousands, except per-share amounts)	2021		2020
Net income—basic and diluted	$	125,608	$	140,461

Average common shares outstanding—basic	193,439		200,161
Dilutive effect of share-based compensation arrangements (1)	1,764		1,658
Adjusted average common shares outstanding—diluted	195,203		201,819

Net income per share:

Basic	$	0.65	$	0.70
Diluted	$	0.64	$	0.70

(1)The following number of shares of our common stock equivalents issued under our share-based compensation arrangements are not included in the calculation of diluted net income per share because they are anti-dilutive.


	Three Months Ended March 31,
(In thousands)	2021	2020
Shares of common stock equivalents	—	132