Chuy's Holdings, Inc. Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

Stock-Based Compensation

Stock-Based Compensation

3 Months Ended

Mar. 31, 2019

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

The Company has outstanding awards under the Chuy's Holdings, Inc. 2006 Stock Option Plan (the "2006 Plan") and the 2012 Plan. The 2006 Plan was terminated by the board effective July 27, 2012, and no further awards may be granted under the plan after such date. However, the termination of the 2006 Plan did not affect outstanding awards granted. Options granted under these plans vest over five years from the date of grant and have a maximum term of 10 years. Restricted stock units granted under the 2012 Plan vest over four to five years from the date of grant. As of March 31, 2019, a total of 335,215 shares of common stock are reserved and remain available for issuance under the 2012 Plan.

Stock-based compensation expense recognized in the accompanying condensed consolidated income statements was approximately $750,000 and $736,000 for the thirteen weeks ended March 31, 2019 and April 1, 2018, respectively.

Stock Options

A summary of stock-based compensation activity related to stock options for the thirteen weeks ended March 31, 2019 are as follows:



	Shares		Weighted Average Exercise Price		Weighted Average Remaining Contractual Term (Years)	Aggregate Intrinsic Value
Outstanding at December 30, 2018	246,831		$	19.67
Exercised	(4,687	)	7.18
Forfeited	—		—
Outstanding at March 31, 2019	242,144		$	19.91	3.00	$	1,354
Exercisable at March 31, 2019	241,391		$	19.88	3.00	$	1,354

The aggregate intrinsic value in the table above is obtained by subtracting the exercise price from the estimated fair value of the underlying common stock as of March 31, 2019 and multiplying this result by the related number of options outstanding and exercisable at March 31, 2019. The estimated fair value of the common stock as of March 31, 2019 used in the above calculation was $22.77 per share, the closing price of the Company’s common stock on March 29, 2019, the last trading day of the first quarter. The total intrinsic value of options exercised during the thirteen weeks ended March 31, 2019 was approximately $66,000. The fair value of options vested during the thirteen weeks ended March 31, 2019 was approximately $4,000.

There was approximately $2,000 of total unrecognized compensation expense related to options granted under the 2006 Plan and the 2012 Plan as of March 31, 2019. This expense will be recognized ratably over the next year.

Restricted Stock Units

A summary of stock-based compensation activity related to restricted stock units for the thirteen weeks ended March 31, 2019 are as follows:



	Shares		Weighted Average Fair Value		Weighted Average Remaining Contractual Term (Year)
Outstanding at December 30, 2018	368,402		$	27.01
Granted	172,749		22.40
Vested	(115,688	)	27.20
Forfeited	(5,826	)	27.18
Outstanding at March 31, 2019	419,637		$	25.06	3.09

The fair value of the restricted stock units is the quoted market value of our common stock on the date of grant. As of March 31, 2019, total unrecognized stock-based compensation expense related to non-vested restricted stock units was approximately $10.2 million, which is expected to be recognized ratably over the next five years.