XML 41 R21.htm IDEA: XBRL DOCUMENT v3.24.2.u1
Note 13 - Stock-based Compensation
 6 Months Ended
Jun. 30, 2024
Notes to Financial Statements  
Share-Based Payment Arrangement [Text Block]

Note 13 – Stock–Based Compensation

 

NHC recognizes stock–based compensation expense for all stock options granted over the requisite service period using the fair value at the date of grant using the Black–Scholes pricing model. Stock–based compensation totaled $1,175,000 and $772,000 for the three months ended June 30, 2024 and 2023, respectively. Stock-based compensation totaled $1,969,000 and $1,411,000 for the six months ended June 30, 2024 and 2023, respectively. Stock–based compensation is included in “Salaries, wages and benefits” in the interim condensed consolidated statements of operations.

 

At June 30, 2024, the Company had $6,962,000 of unrecognized compensation cost related to unvested stock–based compensation awards. This unrecognized compensation cost will be amortized over an approximate two-year period.

 

Stock Options

 

The following table summarizes the significant assumptions used to value the options granted for the six months ended June 30, 2024 and for the year ended December 31, 2023.

 

  

June 30,

2024

  

December 31,
2023

 

Risk–free interest rate

  4.40%   4.52% 

Expected volatility

  24.1%   29.3% 

Expected life, in years

  2.9   2.9 

Expected dividend yield

  2.63%   4.41% 

 

The following table summarizes our outstanding stock options for the six months ended June 30, 2024 and for the year ended December 31, 2023.

 

  

Number of

Shares

  

Weighted

Average

Exercise Price

  

Aggregate

Intrinsic

Value

 

Options outstanding at January 1, 2023

  445,144  $66.62  $– 

Options granted

  299,278   54.44   – 

Options exercised

  (103,481)  64.72   – 

Options cancelled

  (52,407)  60.58   – 

Options outstanding at December 31, 2023

  588,534   61.30   – 

Options granted

  297,986   94.42   – 

Options exercised

  (176,623)  63.53   – 

Options cancelled

  (25,702)  74.47   – 

Options outstanding at June 30, 2024

  684,195   74.65  $23,089,169 
             

Options exercisable at June 30, 2024

  187,856   64.05  $8,331,795 

 

 

Options

Outstanding

June 30, 2024

  

Exercise Prices

  

Weighted Average

Exercise Price

  

Weighted Average

Remaining

Contractual

Life in Years

 

354,954

   

53.94

-

69.19

   

59.08

   

3.2

 

329,241

   

71.64

-

96.03

   

91.44

   

4.2

 

684,195

         

74.65

   

3.7