Investments

6 Months Ended

Jul. 31, 2023

Investments, Debt and Equity Securities [Abstract]

Marketable Securities

As of July 31, 2023 and January 31, 2023, our marketable securities consisted of the following:


	As of July 31, 2023
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value

	(in thousands)





Commercial paper	$	67,269	$	—	$	—	$	67,269
Agency bonds	1,445,880		7		(15,588)		1,430,299
Corporate and other debt securities	543,042		68		(4,635)		538,475
U.S. government agency securities	2,590,023		10		(28,254)		2,561,779
Treasury bills	50,596		—		(25)		50,571
Marketable securities	$	4,696,810	$	85	$	(48,502)	$	4,648,393


	As of January 31, 2023
	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value

	(in thousands)


Commercial paper	$	77,701	$	—	$	—	$	77,701
Agency bonds	823,027		63		(12,440)		810,650
Corporate and other debt securities	555,354		385		(4,845)		550,894
U.S. government agency securities	2,910,572		150		(49,507)		2,861,215
Treasury bills	25,404		1		(29)		25,376
Marketable securities	$	4,392,058	$	599	$	(66,821)	$	4,325,836

Unrealized losses for securities that have been in an unrealized loss position for less than 12 months were $25.2 million and $24.8 million as of July 31, 2023 and January 31, 2023, respectively. Unrealized losses for securities that have been in an unrealized loss position for 12 months or longer were $23.3 million and $42.0 million as of July 31, 2023 and January 31, 2023, respectively. We review the individual securities that have unrealized losses on a regular basis to evaluate whether or not any security has experienced, or is expected to experience, credit losses resulting in the decline in fair value. We evaluate, among other factors, whether we have the intention to sell any of these marketable securities and whether it is more likely than not that we will be required to sell any of them before recovery of the amortized cost basis. We have not recorded an allowance for credit losses, as we believe any such losses would be immaterial based on the high-grade credit rating for each of our marketable securities as of the end of each period. There were no material realized gains or losses from available-for-sale securities that were reclassified out of accumulated other comprehensive loss for the three and six months ended July 31, 2023 and 2022.

The following table presents the contractual maturities of our marketable securities as of July 31, 2023 and January 31, 2023:


	As of
	July 31, 2023		January 31, 2023

	(in thousands)
Less than one year	$	2,757,001	$	2,743,677
Due in one to five years	1,891,392		1,582,159
Total	$	4,648,393	$	4,325,836

Strategic Investments

Strategic investments by form and measurement category as of July 31, 2023 were as follows:


	Measurement Category
	Fair Value		Measurement Alternative		Equity Method		Total

	(in thousands)
Equity securities	$	92,139	$	185,732	$	95,070	$	372,941
Debt securities	3,752		—		—		3,752
Strategic investments	$	95,891	$	185,732	$	95,070	$	376,693

Strategic investments by form and measurement category as of January 31, 2023 were as follows:


	Measurement Category
	Fair Value		Measurement Alternative		Equity Method		Total

	(in thousands)
Equity securities	$	171,975	$	118,763	$	93,854	$	384,592
Debt securities	14,400		—		—		14,400
Strategic investments	$	186,375	$	118,763	$	93,854	$	398,992

In the first quarter of fiscal year 2024, we made a total of $51.0 million of strategic investments in equity securities of private companies. Based on the terms of these privately-held securities, we determined that we do not have a controlling interest nor the ability to exercise significant influence over the operating and financial policies of the investees. Therefore these investments are currently accounted for under the measurement alternative method.

In the second quarter of fiscal year 2024, we sold a total of $107.2 million of strategic investments in equity securities of public companies. The gains on sale, which were not material, were recorded through gains (losses) on strategic investments, net in the condensed consolidated statements of operations.