Quarterly report pursuant to Section 13 or 15(d)

Stock-Based Compensation

v3.5.0.2
Stock-Based Compensation
 9 Months Ended
Sep. 25, 2016
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
Stock-Based Compensation
Stock-Based Compensation
The Company has outstanding awards under the Chuy's Holdings, Inc. 2006 Stock Option Plan (the "2006 Plan") and the 2012 Plan. 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 September 25, 2016, a total of 818,961 shares of common stock are reserved and remain available for issuance under the 2012 Plan.
Stock-based compensation cost recognized in the accompanying condensed consolidated income statements was $565,000 and $450,000 for the thirteen weeks ended September 25, 2016 and September 27, 2015, respectively, and $1,624,000 and $1,255,000 for the thirty-nine weeks ended September 25, 2016 and September 27, 2015, respectively.

Stock Options
A summary of stock-based compensation activity related to stock options for the thirty-nine weeks ended September 25, 2016 are as follows:
 
Shares
 
Weighted
Average
Exercise
Price
 
Weighted
Average
Remaining
Contractual
Term
(Years)
 
Aggregate
Intrinsic
Value
Outstanding at December 27, 2015
634,412

 
$
11.91

 
 
 
 
Exercised
(293,216
)
 
4.70

 
 
 
 
Forfeited
(4,504
)
 
31.62

 
 
 
 
Outstanding at September 25, 2016
336,692

 
$
17.92

 
4.95
 
$
3,945

Exercisable at September 25, 2016
277,895

 
$
15.82

 
4.62
 
$
3,822


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 September 25, 2016 and multiplying this result by the related number of options outstanding and exercisable at September 25, 2016. The estimated fair value of the common stock as of September 25, 2016 used in the above calculation was $29.49 per share, the closing price of the Company’s common stock on September 23, 2016, the last trading day of the third quarter. The total intrinsic value of options exercised during the thirty-nine weeks ended September 25, 2016 was $8.7 million. The fair value of options vested during the thirty-nine weeks ended September 25, 2016 was $454,000.
There was approximately $458,000 of total unrecognized compensation costs related to options granted under the 2006 Plan and the 2012 Plan as of September 25, 2016. These costs will be recognized ratably over the next three years.
Restricted Stock Units
A summary of stock-based compensation activity related to restricted stock units for the thirty-nine weeks ended September 25, 2016 are as follows:
 
Shares
 
Weighted
Average
Fair Value
 
Weighted
Average
Remaining
Contractual
Term
(Year)
Outstanding at December 27, 2015
165,111

 
$
29.72

 
 
Granted
91,004

 
34.47

 
 
Vested
(45,819
)
 
30.90

 
 
Forfeited
(6,141
)
 
29.69

 
 
Outstanding at September 25, 2016
204,155

 
$
31.58

 
2.78

The fair value of the restricted stock units is the quoted market value of our common stock on the date of grant. As of September 25, 2016, total unrecognized stock-based compensation expense related to non-vested restricted stock units was approximately $5.3 million, which is expected to be recognized ratably over the next five years.