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Basic and Diluted Net Loss Per Share
 6 Months Ended
Jun. 30, 2022
Earnings Per Share [Abstract]  
Basic and Diluted Net Loss Per Share
Note 11. Basic and Diluted Net Loss Per Share
Basic net loss per share is computed by dividing the net loss by the weighted-average number of shares of common stock outstanding during the period. Diluted net loss per share is computed by giving effect to all potential shares of common stock, stock options, restricted stock units, ESPP, convertible senior notes, and convertible preferred stock, to the extent dilutive. For the three and six months ended June 30, 2022 and 2021, all such common stock equivalents have been excluded from diluted net loss per share as the effect to net loss per share would be anti-dilutive.
The following table sets forth the computation of the Company’s basic and diluted net loss per share of common stock (in thousands, except per share data):
Three Months Ended
June 30,		Six Months Ended
June 30,
2022202120222021
Numerator    
Net loss$(159,515)$(110,956)$(310,487)$(111,142)
Denominator
Weighted-average common shares outstanding for basic and diluted net loss per share95,130 91,181 94,854 90,909 
Basic and diluted net loss per share$(1.68)$(1.22)$(3.27)$(1.22)
The following table summarizes the potentially dilutive common shares that were excluded from diluted weighted-average common shares outstanding because including them would have had an anti-dilutive effect (in thousands):
Three Months Ended
June 30,		Six Months Ended
June 30,
 2022202120222021
Shares of common stock issuable under equity incentive plans outstanding3,793 4,125 3,523 3,795 
Shares of common stock related to convertible preferred stock743 — 743 — 
Shares of common stock related to convertible senior notes— — — 269 
Potential common shares excluded from diluted net loss per share4,536 4,125 4,266 4,064 
Under the terms of the respective Notes Indentures, effective January 1, 2022, the Company made an irrevocable election to settle the principal portion of the Notes only in cash, with the conversion premium to be settled in cash or shares.
Upon the adoption of ASU No. 2020-06 on January 1, 2022, the Company calculates the potential dilutive effect of its 2025 Notes and 2026 Notes under the if-converted method. Under this method, only the amounts settled in excess of the principal will be considered in diluted earnings per share, in line with the terms of the Notes Indentures.
The denominator for diluted net income per share does not include any effect from the capped call transactions the Company entered into concurrently with the issuance of the 2023, 2025, and 2026 Notes as this effect would be anti-dilutive. In the event of conversion of the Notes, if shares are delivered to the Company under the capped call, they will offset the dilutive effect of the shares that the Company would issue under the Notes.