Annual report pursuant to Section 13 and 15(d)

STOCK-BASED COMPENSATION (Tables)

v3.24.0.1
STOCK-BASED COMPENSATION (Tables)
 12 Months Ended
Dec. 31, 2023
Share-Based Payment Arrangement [Abstract]  
Total Stock-Based Compensation Expense Total stock-based compensation expense in our Consolidated Statements of Income during the twelve months ended December 31, 2023, 2022 and 2021, was as follows:
  Twelve Months Ended December 31,
2023 2022 2021
(In millions)
Cost of services $ 14.5  $ 12.4  $ 12.0 
Selling, general and administrative expenses 57.3  50.2  42.9 
Stock-based compensation expense, before income taxes $ 71.8  $ 62.6  $ 54.9 
Assumptions Used to Estimate Fair Value of Stock Options Granted
The fair value for stock options granted during the twelve months ended December 31, 2023, 2022 and 2021, was estimated at the date of grant, using the binomial model with the following weighted-average assumptions:
  Twelve Months Ended December 31,
  2023 2022 2021
Dividend yield 0.8  % 0.7  % 1.0  %
Expected volatility 33.1  % 31.5  % 28.5  %
Risk-free interest rate 3.9  % 2.4  % 0.5  %
Expected term (in years) 4.8 5.0 4.8
Weighted-average fair value of stock options granted $ 63.70 $ 59.70 $ 39.63
Changes in Outstanding Options and Weighed-Average Exercise Price Per Share
The following table summarizes changes in outstanding stock options during the twelve months ended December 31, 2023, as well as stock options that are vested and expected to vest and stock options exercisable at December 31, 2023: 
Shares Weighted-Average Exercise Price Weighted-Average Remaining Contractual Term Aggregate Intrinsic Value
  (In thousands)   (In years) (In millions)
Outstanding at December 31, 2022 1,964  $ 164.72     
Granted (all at market price) 259  $ 210.37 
Exercised (218) $ 143.98 
Forfeited and canceled (44) $ 205.81 
Outstanding at December 31, 2023 1,961  $ 171.93  4.7 $ 148.4 
Vested and expected to vest at December 31, 2023 1,945  $ 171.55  4.7 $ 148.0 
Exercisable at December 31, 2023 1,326  $ 150.58  3.3 $ 128.3 
The following table summarizes changes in outstanding options and the related weighted-average exercise price per share for the twelve months ended December 31, 2022 and 2021:
  December 31,
  2022 2021
  Shares
Weighted-
Average Exercise Price
 Shares
Weighted-
Average Exercise Price
  (In thousands) (In thousands)
Outstanding at the beginning of the year 1,710  $ 149.67  1,831  $ 137.01 
Granted (all at market price) 369  $ 232.28  314  $ 184.03 
Exercised (76) $ 136.84  (341) $ 114.35 
Forfeited and canceled (39) $ 198.34  (94) $ 145.92 
Outstanding at the end of the year 1,964  $ 164.72  1,710  $ 149.67 
Exercisable at end of year 1,268  $ 141.40  522  $ 129.57 
Summary of Changes in Nonvested Stock and Weighted-Average Grant Date Fair Value
The following table summarizes changes in these other stock awards during the twelve months ended December 31, 2023, 2022 and 2021 and the related weighted-average grant date fair value:
Shares Weighted-Average
Grant Date
Fair Value
  (In thousands)  
Nonvested at December 31, 2020 927  $ 128.04 
Granted 396  $ 175.51 
Vested (465) $ 130.96 
Forfeited (79) $ 141.73 
Nonvested at December 31, 2021 779  $ 159.73 
Granted 483  $ 196.97 
Vested (406) $ 133.26 
Forfeited (72) $ 202.70 
Nonvested at December 31, 2022 784  $ 192.47 
Granted 373  $ 205.98 
Vested (215) $ 172.62 
Forfeited (86) $ 194.11 
Nonvested at December 31, 2023 856  $ 203.17