v3.26.1
Fair Value of Financial Instruments
 6 Months Ended
Jun. 30, 2026
Fair Value Disclosures [Abstract]  
Fair Value of Financial Instruments Fair Value of Financial Instruments
The fair values of the financial instruments we measure at fair value on a recurring basis are as follows (in thousands):
June 30, 2026
Level 1Level 2Level 3Total
Cash equivalents:
Money market funds$235,938 $— $— $235,938 
Commercial paper— 30,951 — 30,951 
Marketable securities:
Corporate bonds— 402,917 — 402,917 
Commercial paper— 188,620 — 188,620 
Certificates of deposit— 117,502 — 117,502 
U.S. treasury securities139,255 — — 139,255 
Non-U.S. government and supranational bonds— 4,123 — 4,123 
Other assets:
Certificates of deposit$— $6,005 $— $6,005 
December 31, 2025
Level 1Level 2Level 3Total
Cash equivalents:
Money market funds$452,315 $— $— $452,315 
Commercial paper— 286,879 — 286,879 
U.S. treasury securities64,934 — — 64,934 
Corporate bonds— 4,516 — 4,516 
Marketable securities:
Corporate bonds— 706,288 — 706,288 
U.S. treasury securities374,844 — — 374,844 
Commercial paper— 253,466 — 253,466 
Certificates of deposit— 163,213 — 163,213 
Other assets:
Certificates of deposit$— $6,020 $— $6,020 
We classify our marketable securities within Level 1 or Level 2 because we determine their fair values using quoted market prices or alternative pricing sources and models utilizing market observable inputs.
Gross unrealized gains and losses on our marketable securities were not material in the aggregate as of June 30, 2026 and December 31, 2025. We evaluated all available evidence and did not recognize any allowance for credit losses for our marketable securities as of June 30, 2026 and December 31, 2025.
The fair value of our marketable securities by contractual maturity is as follows (in thousands):
June 30, 2026
Due in one year or less $574,232 
Due after one to five years 278,185 
Total $852,417 
Net realized gains and losses from sales of available-for-sale securities were not material for any period presented.
We carry our convertible notes at face value, net of unamortized issuance costs on our condensed consolidated balance sheets and present the fair value for disclosure purposes only. As of June 30, 2026, the fair value of the convertible notes was $1,087.9 million, which we estimated using a binomial lattice model with inputs including risk free rate, volatility and credit spread and classify within Level 3 in the fair value hierarchy. Refer to Note 5 of our condensed consolidated financial statements for further information on our convertible notes.