Marketable Securities and Equity Investments

6 Months Ended

Jun. 30, 2019

Cash and Cash Equivalents [Abstract]

Marketable Securities and Equity Investments

A summary of the Company’s cash equivalents and marketable securities, which are recorded at fair value (and do not include $1.7 billion and $1.4 billion of cash as of June 30, 2019 and December 31, 2018, respectively), is shown below:



	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
	(in thousands)
As of June 30, 2019
Cash equivalents:
Money market funds	$	1,561,770	$	—	$	—		$	1,561,770
Government-sponsored enterprise securities	24,518		2		(1		)	24,519
Commercial paper	22,233		2		(1		)	22,234
Total cash equivalents	1,608,521		4		(2		)	1,608,523
Marketable securities:
U.S. Treasury securities	5,891		1		—			5,892
Government-sponsored enterprise securities	8,240		7		—			8,247
Corporate debt securities	249,076		373		(23		)	249,426
Commercial paper	125,421		174		(23		)	125,572
Total marketable debt securities	388,628		555		(46		)	389,137
Corporate equity securities	133,157		140,328		(6,084		)	267,401
Total marketable securities	$	521,785	$	140,883	$	(6,130	)	$	656,538

As of December 31, 2018
Cash equivalents:
Money market funds	$	1,226,603	$	—	$	—		$	1,226,603
U.S. Treasury securities	5,967		—		(1		)	5,966
Government-sponsored enterprise securities	7,124		—		(1		)	7,123
Commercial paper	58,271		—		(3		)	58,268
Total cash equivalents	1,297,965		—		(5		)	1,297,960
Marketable securities:
U.S. Treasury securities	6,026		—		—			6,026
Government-sponsored enterprise securities	10,704		—		—			10,704
Corporate debt securities	234,088		27		(450		)	233,665
Commercial paper	100,498		—		(108		)	100,390
Total marketable debt securities	351,316		27		(558		)	350,785
Corporate equity securities	133,157		40,619		(6,453		)	167,323
Total marketable securities	$	484,473	$	40,646	$	(7,011	)	$	518,108

Available-for-sale debt securities were recorded in the Company's condensed consolidated balance sheets at fair value as follows:



	As of June 30, 2019		As of December 31, 2018
	(in thousands)
Cash and cash equivalents	$	1,608,523	$	1,297,960
Marketable securities	389,137		350,785
Total	$	1,997,660	$	1,648,745

Available-for-sale debt securities by contractual maturity were as follows:



	As of June 30, 2019		As of December 31, 2018
	(in thousands)
Matures within one year	$	1,968,686	$	1,647,500
Matures after one year through five years	28,974		1,245
Total	$	1,997,660	$	1,648,745

The Company has a limited number of available-for-sale debt securities in insignificant loss positions as of June 30, 2019, which it does not intend to sell and has concluded it will not be required to sell before recovery of the amortized costs for the investments at maturity. The Company did not record any charges for other-than-temporary declines in the fair value of available-for-sale debt securities or gross realized gains or losses in the three and six months ended June 30, 2019 and 2018.

The Company maintains strategic investments separately from the investment policy that governs its other cash, cash equivalents and marketable securities. The Company’s investments in the common stock of publicly traded companies, CRISPR and Moderna, as of June 30, 2019 and December 31, 2018, respectively, have readily determinable fair values and are recorded in “Marketable securities” on its condensed consolidated balance sheets. As of June 30, 2019 and December 31, 2018, the total fair value of the Company’s strategic investments in the common stock of publicly traded companies, was$267.4 million and $167.3 million, respectively. During the three and six months ended June 30, 2019, the Company recorded unrealized gains of $56.5 million and $100.1 million, respectively. During the three and six months ended June 30, 2018 the Company recorded unrealized gains of $53.9 million and $149.4 million, respectively, primarily related to increases in the fair value of its investment in CRISPR.

As of June 30, 2019, the carrying value of the Company’s equity investments without readily determinable fair values, which are recorded in “Other assets” on its condensed consolidated balance sheets, was $33.6 million.