7. SHARE-BASED COMPENSATION
|9 Months Ended|
Sep. 30, 2022
|Share-Based Payment Arrangement [Abstract]|
|7. SHARE-BASED COMPENSATION||
We issue share-based compensation to employees in the form of stock options, restricted stock units (RSUs), and performance stock units (PSUs). We account for the share-based awards by recognizing the fair value of share-based compensation expense on a straight-line basis over the service period of the award, net of estimated forfeitures. The fair value of stock options is estimated on the grant date using the Black-Scholes option pricing model. The fair value of RSUs and non-executive PSUs is based on the closing price of our common stock on the grant date. Executive PSUs are valued using a Monte Carlo simulation model using the following inputs: stock price, volatility, and risk-free interest rates. Changes in estimated inputs or using other option valuation methods may result in materially different option values and share-based compensation expense.
Share-based Compensation Expense by Line Item
Options activity and positions
As of September 30, 2022, our unrecognized share-based employee compensation related to stock options was $which we plan to expense over the next years.
Restricted stock activity and positions
Restricted Stock Unit Activity
As of September 30, 2022, our unrecognized share-based compensation related to RSUs was $million which we plan to expense over the next years. Our unrecognized share-based compensation related to the executive PSUs was $ million, which we plan to expense over the next years and our unrecognized share-based compensation related to the non-executive PSUs was $ million, which we plan to expense over the next years.
The entire disclosure for share-based payment arrangement.
Reference 1: http://www.xbrl.org/2003/role/disclosureRef