I'm looking at $TOST 10k.
When I go to page 140 it says this for their stock options:
So you can see from the above image that they say their
weighted average fair value of common stock was $17 at the end of Dec. 2021. However the stock price of $TOST was $34 on 31st Dec. 2021.
So where do they get this $17 number from? Shouldn't this just be the market price of $TOST equity? Clearly it's not and I don't understand how they got this number. I know that they got the option price fair value using black scholes but this $17 value for the common stock doesn't make sense to me.
Also, how did it rise from $3.23 in Dec. 2020 to $17 just a year later? That's a massive increase.
D Stanley pointed out in the comments that it's a weighted average of FY 2021 maybe. However it's not likely because on page 121 it says this:
In consideration for the acquisition of xtraCHEF, we issued 569,400 shares of common stock to the seller shareholders with a fair value of $26.10 per share on the acquisition date supported by a contemporaneous valuation
Aquistion of xtraCHEF was in June 2021.
So their Share Price was worth $26.10 in June 2021. So to have a weighted average of $17 in FY 2021 then the share price must have been something like $5 at the start of FY 2021. None of this makes any sense. How can a companies stock price almost 10x in less than 6 months? Very weird and unlikely.