Cash Equivalents and Investments

9 Months Ended

Sep. 30, 2020

Cash and Cash Equivalents [Abstract]

Marketable debt securities held by the Company are classified as available-for-sale pursuant to ASC 320, Investments – Debt and Equity Securities, and carried at fair value in the accompanying condensed consolidated balance sheets on a settlement date basis. The following tables summarize the gross unrealized gains and losses of the Company’s marketable securities as of September 30, 2020 and December 31, 2019:


	September 30, 2020
			Gross Unrealized						Estimated Fair Value
	Amortized Cost		Gains		Losses		Credit Losses
Money market funds	$	28,059	$	—	$	—	$	—	$	28,059
Commercial paper	9,984		—		—		—		9,984
Corporate notes	11,161		25		—		—		11,186
U.S. government securities	13,764		40		—		—		13,804
U.S. government agency bonds	3,498		1		—		—		3,499
U.S. asset-backed securities	3,550		12		—		—		3,562
	$	70,016	$	78	$	—	$	—	$	70,094
Classified as:
Cash equivalents									$	28,059
Short-term investments									42,035

									$	70,094


	December 31, 2019
			Gross Unrealized				Estimated Fair Value
(In thousands)	Amortized Cost		Gains		Losses
Money market funds	$	5,381	$	—	$	—	$	5,381

Commercial paper	11,892		—		—		11,892
Corporate notes	18,369		11		—		18,380
U.S. government securities	11,291		4		—		11,295
U.S. asset-backed securities	10,503		6		—		10,509
	$	57,436	$	21	$	—	$	57,457
Classified as:
Cash equivalents							$	5,381
Short-term investments							42,829
Long-term investments							9,247
							$	57,457

As of September 30, 2020 we held short-term investments and as of December 31, 2019, we held both short-term and long-term investments. Investments classified as short-term have maturities of less than one year. Investments classified as long-term are those that: (i) have a maturity of greater than one year, and (ii) we do not intend to liquidate within the next twelve months, although these funds are available for use and, therefore, are classified as available-for-sale. The Company's investment strategy is to buy short-duration marketable securities with a high credit rating. As of September 30, 2020 and December 31, 2019, all marketable securities held by the Company had remaining contractual maturities of three years or less.

Unrealized gains are included as a component of accumulated other comprehensive income in the condensed consolidated balance sheets and statements of stockholders’ equity and a component of total comprehensive loss in the condensed consolidated statements of comprehensive loss, until realized. Unrealized losses are evaluated for impairment under ASC 326, Financial Instruments - Credit Losses, to determine if the impairment is credit-related or non credit-related. Credit-related impairment is recognized as an allowance on the balance sheet with a corresponding adjustment to earnings, and non credit-related impairment is recognized in other comprehensive income, net of taxes. There were no material realized losses on marketable securities for the three and nine months ended September 30, 2020 and 2019.

The Company evaluated its investments for impairment under ASC 326. Any allowance for credit losses are recorded at the lower of either the fair market value less book value or the difference between the present value of future cash flows and the book value. As of September 30, 2020, the analysis under ASU 2016-13 and the current macroeconomic impact of the COVID-19 pandemic did not result in material allowances for credit losses. There have been no impairments of the Company’s assets measured and carried at fair value as of September 30, 2020.