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Stockholders' Equity | 9 Months Ended
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Sep. 30, 2025
Equity [Abstract] |
Stockholders' Equity | Stockholders’ Equity Capital Structure Common Stock The Company is authorized to issue 450,000,000 shares of common stock with a par value of $0.001 per share. As of September 30, 2025 and December 31, 2024, the Company had 78,214,059 and 75,807,505 shares of common stock issued and outstanding, respectively. Preferred Stock The Company is authorized to designate and issue up to 5,000,000 shares of preferred stock with a par value of $0.001 per share in one or more series without stockholder approval and to fix the rights, preferences, privileges and restrictions thereof. As of September 30, 2025 and December 31, 2024, there were no shares of preferred stock issued and outstanding. Common Stock Reserved for Future Issuance Shares of common stock reserved for future issuance related to outstanding equity awards and employee equity incentive plans as of September 30, 2025 were as follows (in thousands):
|  | September 30, 2025
Stock options outstanding |  | 661
RSUs (including PRSUs) outstanding |  | 6,451
Shares available for future grant under 2014 Plan |  | 13,012
Shares available for future issuance under ESPP |  | 3,961
Total shares of common stock reserved |  | 24,085
Stock Options A summary of the Company’s stock option activity during the nine months ended September 30, 2025 is as follows (in thousands, except per share data):
|  | Number of Shares |  | Weighted Average Exercise Price |  | Weighted Average Remaining Contractual Life (Years) |  | Aggregate Intrinsic Value
Outstanding as of December 31, 2024 |  | 860 |  |  | $ | 55.34 |  |  |  |  |
Options granted |  | — |  |  | — |  |  |  |  |
Options exercised |  | (156) |  |  | 20.04 |  |  |  |  |
Options forfeited or expired |  | (43) |  |  | 92.55 |  |  |  |  |
Outstanding as of September 30, 2025 |  | 661 |  |  | 61.20 |  |  | 1.7 |  | $ | 2,402 |
The aggregate intrinsic value amounts are computed based on the difference between the exercise price of the stock options and the fair market value of the Company’s common stock of $24.20 per share as of September 30, 2025 for all in-the-money stock options outstanding. Restricted Stock Units (including PRSUs) A summary of the Company’s restricted stock unit ("RSU") activity, including PRSUs, during the nine months ended September 30, 2025 is as follows (in thousands, except per share data):
|  | Number of Shares |  | Weighted Average Grant Date Fair Value Per Share
Outstanding as of December 31, 2024 |  | 5,829 |  |  | $ | 57.27 |
RSUs granted(1) |  | 3,979 |  |  | 35.71 |
RSUs vested and released |  | (1,914) |  |  | 59.13 |
RSUs forfeited or cancelled |  | (1,443) |  |  | 53.73 |
Outstanding as of September 30, 2025 |  | 6,451 |  |  | 45.77 |
(1) Includes 324,165 PRSUs granted during the nine months ended September 30, 2025. PRSUs with Market Conditions During the nine months ended September 30, 2025, the Company granted 324,165 market-based PRSUs with a grant date fair value of $15.0 million. The amount that may be earned pursuant to the market-based PRSUs ranges from 0% to 200% of the target number based on the Company’s relative total shareholder return (“RTSR”) performance during the 2025-2027 performance period as compared to the performance during such period of companies in the S&P Software and Services Select Index on January 1, 2025. The 2025-2027 performance period contains three overlapping measurement periods—a one-year period (2025), a two-year period (2025–2026), and a three-year period (2025–2027). One-third of the total market-based PRSUs may be earned and settled in shares following the end of each measurement period based on RTSR performance and subject to continued employment through the payment date. If the Company’s absolute total shareholder return for any measurement period is negative, then no more than 100% of the target amount of market-based PRSUs for such period may be earned. If an executive's employment with the Company terminates before the end of the final one-year performance period due to death or disability, 100% (if due to death) or 50% (if due to disability) of the unvested market-based PRSUs may be earned subject to ultimate RTSR performance in each remaining performance period. Upon a qualifying termination of employment in connection with a change in control of the Company, the unvested market-based PRSUs subject to the 2023-2025 performance period, the 2024-2026 performance period and the 2025-2027 performance period will vest on a double-trigger basis (i) at the target level for the uncompleted portions of the performance periods and (ii) at the actual level of performance measured through the date of the change in control of the Company, based on the price per share paid in such change in control. The fair value of the market-based PRSUs is determined on their grant date using a Monte Carlo Simulation model based upon assumptions presented below. The Company recognizes the fair value of the market-based PRSUs ratably over their requisite service period. During the first quarter of 2025, the Company certified the performance results for the 2024 measurement period for the market-based PRSUs subject to the 2022-2024 performance period, the 2023-2025 performance period and the 2024-2026 performance period. The Company determined that its actual total shareholder return was (47.25)% for 2024. The Company's relative total shareholder return ranking for the market-based PRSUs subject to the 2022-2024 performance period was in the 3.7 percentile relative to companies in the S&P Software & Services Select Index on January 1, 2022, which resulted in a payout percentage of 0.00% of target for the 2024 measurement for such PRSUs. The Company's relative total shareholder return ranking for the market-based PRSUs subject to the 2023-2025 performance period was in the 2.9 percentile relative to companies in the S&P Software & Services Select Index on January 1, 2023, which resulted in a payout percentage of 0.00% of target for the 2024 measurement period for such PRSUs. The Company's relative total shareholder return ranking for the market-based PRSUs subject to the 2024-2026 performance period was in the 1.5 percentile relative to companies in the S&P Software & Services Select Index on January 1, 2024, which resulted in a payout percentage of 0.00% of target for the 2024 measurement period for such PRSUs. Stock-Based Compensation Stock-based compensation expense was as follows (in thousands):
|  | Three Months Ended |  | Nine Months Ended
|  | September 30, 2025 |  | September 30, 2024 |  | September 30, 2025 |  | September 30, 2024
Cost of revenue |  | $ | 6,852 |  |  | $ | 7,512 |  |  | $ | 21,332 |  |  | $ | 22,904 |
Research and development |  | 6,896 |  |  | 8,244 |  |  | 24,415 |  |  | 29,001 |
Sales and marketing |  | 8,401 |  |  | 12,490 |  |  | 33,330 |  |  | 40,334 |
General and administrative |  | 11,190 |  |  | 11,310 |  |  | 35,366 |  |  | 35,633 |
Total stock-based compensation expense |  | $ | 33,339 |  |  | $ | 39,556 |  |  | $ | 114,443 |  |  | $ | 127,872 |
As of September 30, 2025, unrecognized stock-based compensation expense by award type and expected weighted-average recognition periods are summarized in the following table (in thousands, except years).
|  | Stock Option |  | RSU (excluding PRSUs) |  | PRSU |  | ESPP
Unrecognized stock-based compensation expense |  | $ | 171 |  |  | $ | 247,832 |  |  | $ | 13,549 |  |  | $ | 459 |
Weighted-average amortization period |  | 0.4 years |  | 2.5 years |  | 1.4 years |  | 0.1 years
The weighted-average assumptions used to value PRSUs with market conditions granted during the periods presented were as follows:
PRSUs (Market Conditions) |  | Three Months Ended |  | Nine Months Ended
|  | September 30, 2025 |  | September 30, 2024 |  | September 30, 2025 |  | September 30, 2024
Expected term (years) |  | 2.38 |  | — |  |  | 2.76 |  | 2.85
Volatility |  | 52.2 | % |  | — |  |  | 55.2 | % |  | 49.4 | %
Risk-free interest rate |  | 3.7 | % |  | — |  |  | 4.0 | % |  | 4.5 | %
Dividend yield (1) |  | — |  |  | — |  |  | — |  |  | — |
(1)The Company has not paid, and does not anticipate paying, cash dividends on its shares of common stock. Accordingly, the expected dividend yield is zero.

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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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