Company: JUNS
Filing Date: 2025-03-28
Form Type: 10-K
Source: 0001641172-25-001261
Chunk: 1385

Company: JUPITER NEUROSCIENCES, INC.
Filing Date: 2025-03-28
Form: 10-K
Item: Item 5
Chunk 1385
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loss per share is computed by dividing net loss applicable to common stockholders by the weighted average number of shares of common
stock outstanding during each period. Diluted loss per share includes the effect, if any, from the potential exercise or conversion of
securities, such as convertible preferred stock, convertible notes payable, warrants, stock options, and unvested restricted stock, which
would result in the issuance of incremental shares of common stock, as calculated using the treasury method. In computing the basic and
diluted net loss per share applicable to common stockholders, the weighted average number of shares remains the same for both calculations
due to the fact that when a net loss exists, dilutive shares are not included in the calculation.

As
of December 31, 2024, there were 1,359,375 warrants outstanding, 1,626,037 restricted stock units and 10,633,988 stock options. These
securities are considered dilutive securities which were excluded from the computation since the effect is anti-dilutive.

As
of December 31, 2023, there were 1,359,375 warrants outstanding, 1,618,537 restricted stock units, and 10,336,882 stock options and 14
convertible notes payable, which are convertible into restricted fully-paid and non-assessable shares of the Company’s common stock
or units of common stock and warrants to purchase common stock, if units are offered in the Initial Public Offering equal to the indebtedness
divided by 70% of the offering price paid per share of at which the IPO is made. These securities are considered dilutive securities
which were excluded from the computation since the effect is anti-dilutive.

Stock-Based
Compensation

The
Company accounts for stock-based compensation in accordance with the provisions of Accounting Standards Codification (“ASC”)
Topic 718, Compensation—Stock Compensation, or ASC 718, which requires the recognition of expense related to the fair value of
stock-based awards in the statements of operations. For stock options issued to employees, non-employees and members of our board of
directors, the Company estimates the grant-date fair value of options using the Black-Scholes option pricing model. The use of the Black-Scholes
option pricing model requires management to make assumptions with respect to the expected term of the option, the expected volatility
of the common stock consistent with the expected life of the option, risk-free interest rates, and, for grants