Financial Instruments and Fair Value

3 Months Ended

Mar. 31, 2026

Financial Instruments and Fair Value [Abstract]

Short-Term and Long-Term Investments

Our short-term and long-term investments comprised of available-for-sale investments and marketable equity securities. The following tables summarize our short-term and long-term investments (in millions):


	March 31, 2026
	Amortized Cost		Unrealized Gains		Unrealized Losses		Fair Value
U.S. government and agency securities	$	544.4	$	0.2	$	(0.5)	$	544.1
Corporate debt securities	443.9		—		(1.0)		442.9
Commercial paper	289.4		—		(0.1)		289.3
Certificates of deposit and term deposits	105.1		—		(0.1)		105.0

Total available-for-sale investments	1,382.8		0.2		(1.7)		1,381.3
Marketable equity securities							29.5
Total short-term and long-term investments	$	1,382.8	$	0.2	$	(1.7)	$	1,410.8


	December 31, 2025
	Amortized Cost		Unrealized Gains		Unrealized Losses		Fair Value
U.S. government and agency securities	$	513.7	$	0.9	$	—	$	514.6
Corporate debt securities	368.5		0.4		(0.1)		368.8
Commercial paper	354.8		0.1		—		354.9
Certificates of deposit and term deposits	90.3		0.1		—		90.4
Total available-for-sale investments	1,327.3		1.5		(0.1)		1,328.7
Marketable equity securities							98.2
Total short-term and long-term investments	$	1,327.3	$	1.5	$	(0.1)	$	1,426.9

The following tables show the gross unrealized losses and the related fair values of our available-for-sale investments that have been in a continuous unrealized loss position (in millions):


	March 31, 2026
	Less Than 12 Months				12 Months or Greater				Total
	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
U.S. government and agency securities	$	544.1	$	(0.5)	$	—	$	—	$	544.1	$	(0.5)
Corporate debt securities	442.9		(1.0)		—		—		442.9		(1.0)
Commercial paper	289.3		(0.1)		—		—		289.3		(0.1)
Certificates of deposit and term deposits	105.0		(0.1)		—		—		105.0		(0.1)
Total available-for-sale investments	$	1,381.3	$	(1.7)	$	—	$	—	$	1,381.3	$	(1.7)


	December 31, 2025
	Less Than 12 Months				12 Months or Greater				Total
	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
U.S. government and agency securities	$	514.5	$	—	$	—	$	—	$	514.5	$	—
Corporate debt securities	368.9		(0.1)		—		—		368.9		(0.1)
Commercial paper	354.9		—		—		—		354.9		—
Certificates of deposit and term deposits	90.4		—		—		—		90.4		—
Total available-for-sale investments	$	1,328.7	$	(0.1)	$	—	$	—	$	1,328.7	$	(0.1)

The contractual maturities of our available-for-sale investments were (in millions):


	March 31, 2026		December 31, 2025
Due within one year	$	1,041.6	$	989.0
Due within one to three years	339.7		339.7
Total	$	1,381.3	$	1,328.7

Available-for-sale investments are reported at fair value, with unrealized gains and losses and the related tax impact included as a separate component of stockholders’ equity and in comprehensive income. We do not intend to sell any of the securities in an unrealized loss position and it is not more likely than not that we would be required to sell these securities before recovery of their amortized cost basis, which may be at maturity.

Realized gains and losses on available-for-sale investments were not material in the periods presented.

Gains and losses on our marketable equity securities are recorded in other income—net on the condensed consolidated statements of income. During the three months ended March 31, 2026, we sold certain marketable equity securities for net proceeds of $115.9 million, for which we recognized net gains of $50.7 million during the period. We had no sales of marketable equity securities during the three months ended March 31, 2025. During the three months ended March 31, 2026 and 2025, we recognized a $3.6 million and $14.7 million unrealized loss, respectively, related to the changes in the fair value of our marketable equity securities still held at the reporting date.

Assets Measured at Fair Value on a Recurring Basis

The following table presents the fair value of our financial assets measured at fair value on a recurring basis (in millions):


	March 31, 2026								December 31, 2025
	Aggregate Fair Value		Quoted Prices in Active Markets For Identical Assets		Significant Other Observable Remaining Inputs		Significant Other Unobservable Remaining Inputs		Aggregate Fair Value		Quoted Prices in Active Markets For Identical Assets		Significant Other Observable Remaining Inputs		Significant Other Unobservable Remaining Inputs
			(Level 1)		(Level 2)		(Level 3)				(Level 1)		(Level 2)		(Level 3)
Cash equivalents:
Money market funds	$	239.8	$	239.8	$	—	$	—	$	174.4	$	174.4	$	—	$	—
U.S. government and agency securities	24.0		24.0		—		—		—		—		—		—
Corporate debt securities	2.7		—		2.7		—		1.1		—		1.1		—
Commercial paper	21.9		—		21.9		—		38.1		—		38.1		—
Total cash equivalents	288.4		263.8		24.6		—		213.6		174.4		39.2		—
Short-term investments:
U.S. government and agency securities	427.9		427.9		—		—		383.5		381.5		2.0		—
Corporate debt securities	219.4		—		219.4		—		160.2		—		160.2		—
Commercial paper	289.3		—		289.3		—		354.9		—		354.9		—
Certificates of deposit and term deposits	105.0		—		105.0		—		90.4		—		90.4		—
Marketable equity securities	29.5		29.5		—		—		98.2		98.2		—		—
Total short-term investments	1,071.1		457.4		613.7		—		1,087.2		479.7		607.5		—
Long-term investments:
U.S. government and agency securities	116.2		103.7		12.5		—		131.1		121.8		9.3		—
Corporate debt securities	223.5		—		223.5		—		208.6		—		208.6		—
Total long-term investments	339.7		103.7		236.0		—		339.7		121.8		217.9		—
Total	$	1,699.2	$	824.9	$	874.3	$	—	$	1,640.5	$	775.9	$	864.6	$	—

There were no transfers between Level 1 and Level 2 of the fair value hierarchy during the three months ended March 31, 2026 and year ended December 31, 2025.