Investments Available for Sale

3 Months Ended

Mar. 31, 2023

Investments Debt And Equity Securities [Abstract]

Investments Available for Sale

Note 2 — Investments Available for Sale

During the second half of 2022, the Company started to invest its cash in slightly higher yielding securities. Investments available for sale (“AFS”) and the related fair value measurement consisted of the following (dollars in thousands):

	March 31, 2023
										Fair Value Measurements
	Amortized Cost		Unrealized Gains		Unrealized Losses			Estimated Fair Value		Level 1		Level 2
Commercial paper	$	34,464	$	4	$	(28	)	$	34,440	$	—	$	34,440
Certificates of deposit		18,414		3		(42	)		18,375		—		18,375
U.S. Treasury securities		24,430		26		(9	)		24,447		24,447		—
U.S. agency securities		10,965		15		(2	)		10,978		—		10,978
Corporate debt securities		39,342		3		(261	)		39,084		—		39,084
Total investments AFS	$	127,615	$	51	$	(342	)	$	127,324	$	24,447	$	102,877
	December 30, 2022
										Fair Value Measurements
	Amortized Cost		Unrealized Gains		Unrealized Losses			Estimated Fair Value		Level 1		Level 2
Commercial paper	$	44,054	$	11	$	(62	)	$	44,003	$	—	$	44,003
Certificates of deposit		17,355		4		(75	)		17,284		—		17,284
U.S. Treasury securities		21,847		3		(15	)		21,835		21,835		—
U.S. agency securities		10,688		16		(3	)		10,701		—		10,701
Corporate debt securities		45,522		4		(288	)		45,238		—		45,238
Total investments AFS	$	139,466	$	38	$	(443	)	$	139,061	$	21,835	$	117,226

Note 2 — Investments Available for Sale (Continued)

The Company obtains the fair value from third-party pricing services. The pricing services utilize industry standard valuation models, including both income and market-based approaches and observable market inputs to determine value. These observable market inputs include reportable trades, benchmark yields, credit spreads, broker/dealer quotes, bids, offers and other industry and economic events.

The Company assessed each debt security with gross unrealized losses for impairment. As part of that assessment, the Company concluded that it does not intend to sell and it is more-likely-than-not that the Company will not be required to sell, prior to the recovery of the amortized cost basis. The Company did not recognize impairment for the three months ended March 31, 2023.

The following table shows the fair value of investments AFS by contractual maturity (dollars in thousands):

	As of March 31, 2023
	Within one year		After one year through five years		Total
Commercial paper	$	34,440	$	—	$	34,440
Certificates of deposit		18,375		—		18,375
U.S. Treasury securities		16,331		8,116		24,447
U.S. agency securities		9,256		1,722		10,978
Corporate debt securities		35,477		3,607		39,084
Total investments AFS	$	113,879	$	13,445	$	127,324

During the three months ended March 31, 2023, the Company sold $600,000 in securities due to a downgraded credit rating. The Company recognized a realized gain upon sale of $2,000 during the three months ended March 31, 2023.