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Employee Benefits and Share-Based Compensation (Tables)
12 Months Ended
Dec. 31, 2017
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
Share-Based Compensation Expense Recognized in Consolidate Statements of Income
The following table sets forth the total share-based compensation expense recognized in the Company's Consolidated Statements of Operations:
 
Year Ended December 31,
 
2017
 
2016
 
2015
 
(In thousands)
Cost of product and service revenues
$
3,478

 
$
2,596

 
$
2,111

Research and development
3,590

 
3,128

 
2,060

Selling, general and administrative
14,789

 
13,776

 
10,750

Total share-based compensation expense
$
21,857

 
$
19,500

 
$
14,921

Estimate of Fair Value of Share-Based Awards, Stock Options
The following assumptions were used to value share options and ESPP shares granted pursuant to our equity incentive
plans:
 
Year Ended December 31,
 
2017
 
2016
 
2015
Stock Option Plans
 
 
 
 
 
Risk-free interest rate
1.9
%
 
1.5
%
 
1.7
%
Dividend yield
%
 
%
 
%
Expected volatility
29.6
%
 
30.6
%
 
32.0
%
Expected life (in years)
4.7 years

 
4.9 years

 
5.0 years

Estimate of Fair Value of Share-Based Awards, Employee Stock Purchase Plan
 
Year Ended December 31,
 
2017
 
2016
 
2015
Employee Stock Purchase Plan
 
 
 
 
 
Risk-free interest rate
0.52% - 1.39%

 
0.34% - 0.79%

 
0.03% - 0.79%

Dividend yield
%
 
%
 
%
Expected volatility
25.8% - 32.8%

 
25.8% - 34.8%

 
25.7% - 37.5%

Expected life (in years)
0.5 - 2.0

 
0.5 - 2.0

 
0.5 - 2.0

Stock Option Activity under the 2009 Plan
A summary of the stock option activity under the 2009 Plan is presented below:
 
Number of
Shares
 
Weighted-Average
Exercise Price
 
Weighted-Average
Remaining Years
 
Aggregate
Intrinsic Value
 
(In thousands, except per share data)
Outstanding at December 31, 2016
3,214

 
$
26.06

 
7.3
 
$
26,331

Granted (Awarded)
1,045

 
$
45.13

 
 
 
 
Exercised (Released)
(813
)
 
$
22.28

 
 
 
 
Expired
(6
)
 
$
27.54

 
 
 
 
Forfeited
(117
)
 
$
33.39

 
 
 
 
Outstanding at December 31, 2017
3,323

 
32.72

 
7.6
 
$
53,953

Exercisable at December 31, 2017
1,350

 
23.87

 
5.8
 
33,293

Vested and expected to vest at December 31, 2017 and thereafter
3,323

 
32.72

 
7.6
 
$
53,953

Restricted Stock Units Activity under the 2009 Plan
Summaries of the restricted stock activity under the 2009 Plan are presented below:
 
Number of
Shares
 
Weighted-Average
Grant Date Fair Value
 
Weighted-Average
Remaining Years
 
Aggregate
Intrinsic Value
 
(In thousands, except per share data)
Restricted Stock Units
 
 
 
 
 
 
 
Non-vested at December 31, 2016
505

 
$
31.42

 
1.6
 
$
17,135

Granted (Awarded)
245

 
45.97

 
 
 
 
Vested (Released)
(215
)
 
30.41

 
 
 
 
Forfeited
(34
)
 
32.39

 
 
 
 
Non-vested at December 31, 2017
501

 
38.90

 
1.5
 
$
24,293

Restricted Stock Awards under the 2009 Plan
 
Number of
Shares
 
Weighted-Average
Grant Date Fair Value
 
(In thousands, except per share data)
Restricted Stock Awards
 
 
 
Non-vested at December 31, 2016
30

 
$
31.57

Granted (Awarded)
23

 
41.10

Vested (Released)
(30
)
 
31.58

Non-vested at December 31, 2017
23

 
$
41.07

Performance Shares Restricted Stock Activity under the 2009 Plan
A summary of the performance-based restricted stock activity under the 2009 Plan is presented below:
 
Number of
Shares
 
Weighted-Average
Grant Date Fair Value Per Unit
 
(In thousands, except per share data)
Non-vested at December 31, 2016
184

 
$
24.89

Granted (Awarded)
148

 
34.05

Vested (Released)
(107
)
 
24.36

Non-vested at December 31, 2017
225

 
$
31.18

Schedule of Share-based Compensation, Future Issuance of Shares
The Company had the following ordinary shares reserved for future issuance under its equity incentive plans as of December 31, 2017:
 
 
Number of Shares
 
 
(In thousands)
Share options outstanding
 
3,323

Non-vested restricted stock awards
 
749

Shares authorized for future issuance
 
1,398

ESPP shares available for future issuance
 
2,365

Total shares reserved for future issuance
 
7,835