Investments

3 Months Ended

Mar. 31, 2021

Investments Debt And Equity Securities [Abstract]

6. Investments

The carrying value and amortized cost of the Company’s investments, summarized by major security type, consisted of the following (in thousands):

	March 31, 2021
	Amortized Cost		Unrealized Gains		Unrealized Losses				Estimated Fair Value
U.S. Treasury notes	$	139,390	$	25	$	—		*	$	139,415
Government sponsored enterprise securities		20,004		—		(3	)			20,001
Corporate debt securities		2,999		2		—				3,001
Commercial paper		110,864		7		(7	)			110,864
	$	273,257	$	34	$	(10	)		$	273,281

	December 31, 2020
	Amortized Cost		Unrealized Gains		Unrealized Losses				Estimated Fair Value
U.S. Treasury notes	$	205,111	$	6	$	(27	)		$	205,090
Government sponsored enterprise securities		10,004		—		(5	)			9,999
Corporate debt securities		52,341		47		—		*		52,388
Commercial paper		38,443		21		(11	)			38,453
	$	305,899	$	74	$	(43	)		$	305,930

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*	Unrealized loss was less than $500.

The Company has classified all of its available-for-sale investment securities as current assets on its consolidated balance sheets based on the highly liquid nature of the investment securities and because these investment securities are considered available for use in current operations. The Company has classified all equity securities as other assets on its consolidated balance sheets.

At March 31, 2021 and December 31, 2020, the Company had 15 and 24 available-for-sale investment securities, respectively, in an unrealized loss position. The following table presents gross unrealized losses and fair value for those available-for-sale investment securities that were in an unrealized loss position as of March 31, 2021 and December 31, 2020, aggregated by investment category and length of time that the individual securities have been in a continuous loss position (in thousands):

	Less Than 12 Months						12 Months or Greater				Total
	Estimated Fair Value		Unrealized Losses				Estimated Fair Value		Unrealized Losses		Estimated Fair Value		Unrealized Losses
March 31, 2021:
U.S. Treasury notes	$	5,011	$	—		*	$	—	$	—	$	5,011	$	—		*
Government sponsored enterprise securities		15,001		(3	)			—		—		15,001		(3	)
Commercial paper		77,410		(7	)			—		—		77,410		(7	)
Total	$	97,422	$	(10	)		$	—	$	—	$	97,422	$	(10	)


	Less Than 12 Months						12 Months or Greater				Total
	Estimated Fair Value		Unrealized Losses				Estimated Fair Value		Unrealized Losses		Estimated Fair Value		Unrealized Losses
December 31, 2020:
U.S. Treasury notes	$	129,631	$	(27	)		$	—	$	—	$	129,631	$	(27	)
Government sponsored enterprise securities		10,004		(5	)			—		—		10,004		(5	)
Corporate debt securities		6,252		—		*		—		—		6,252		—		*
Commercial paper		23,466		(11	)			—		—		23,466		(11	)
Total	$	169,353	$	(43	)		$	—	$	—	$	169,353	$	(43	)

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*	Unrealized loss was less than $500.

At each reporting date, the Company performs an evaluation of impairment to determine if any unrealized losses are the result of credit losses. Impairment is assessed at the individual security level. Factors considered in determining whether a loss resulted from a credit loss or other factors include the Company’s intent and ability to hold the investment until the recovery of its amortized cost basis, the extent to which the fair value is less than the amortized cost basis, the length of time and extent to which fair value has been less than the cost basis, the financial condition of the issuer, any historical failure of the issuer to make scheduled interest or principal payments, any changes to the rating of the security by a rating agency, any adverse legal or regulatory events affecting the issuer or issuer’s industry, any significant deterioration in economic conditions.

The Company does not intend to sell the investments in unrealized loss position and it is unlikely that the Company will be required to sell the investments before the recovery of their amortized cost basis. Based on its evaluation, the Company determined its year-to-date credit losses related to its available-for-sale securities were immaterial at March 31, 2021.

Although the Company has not historically experienced significant losses on its investments, the Company’s exposure may increase due to uncertainties associated with the global economic recession and other disruptions resulting from the COVID-19 pandemic.