Quarterly report pursuant to Section 13 or 15(d)

Marketable Securities

v3.19.1
Marketable Securities
9 Months Ended
Mar. 31, 2019
Investments, Debt and Equity Securities [Abstract]  
MARKETABLE SECURITIES
NOTE 5 – MARKETABLE SECURITIES
The amortized cost and fair value of marketable securities as of the dates indicated below were as follows:
As of March 31, 2019 (In thousands)
Amortized
Cost
 
Gross
Unrealized
Gains
 
Gross
Unrealized
Losses
 
Fair
Value
Corporate debt securities
$
441,279

 
$
43

 
$
(2,076
)
 
$
439,246

Money market funds and other
592,141

 

 

 
592,141

Sovereign securities
11,037

 

 
(46
)
 
10,991

U.S. Government agency securities
166,867

 
1

 
(776
)
 
166,092

U.S. Treasury securities
188,283

 

 
(1,203
)
 
187,080

Subtotal
1,399,607

 
44

 
(4,101
)
 
1,395,550

Add: Time deposits(1)
54,986

 

 

 
54,986

Less: Cash equivalents
645,431

 

 

 
645,431

Marketable securities
$
809,162

 
$
44

 
$
(4,101
)
 
$
805,105

As of June 30, 2018 (In thousands)
Amortized
Cost
 
Gross
Unrealized
Gains
 
Gross
Unrealized
Losses
 
Fair
Value
Corporate debt securities
$
747,763

 
$
148

 
$
(7,508
)
 
$
740,403

Money market funds and other
863,115

 

 

 
863,115

Sovereign securities
17,293

 

 
(151
)
 
17,142

U.S. Government agency securities
326,508

 
16

 
(2,827
)
 
323,697

U.S. Treasury securities
411,329

 
3

 
(3,682
)
 
407,650

Subtotal
2,366,008

 
167

 
(14,168
)
 
2,352,007

Add: Time deposits(1)
54,537

 

 

 
54,537

Less: Cash equivalents
930,608

 

 

 
930,608

Marketable securities
$
1,489,937

 
$
167

 
$
(14,168
)
 
$
1,475,936

________________
(1) Time deposits excluded from fair value measurements.
Our investment portfolio consists of both corporate and government securities that have a maximum maturity of three years. The longer the duration of these securities, the more susceptible they are to changes in market interest rates and bond yields. As yields increase, those securities with a lower yield-at-cost show a mark-to-market unrealized loss. Most of our unrealized losses are due to changes in market interest rates and bond yields. We believe that we have the ability to realize the full value of all of these investments upon maturity. As of March 31, 2019, we had 296 investments in an unrealized loss position. The following table summarizes the fair value and gross unrealized losses of our investments that were in an unrealized loss position as of the date indicated below: 
As of March 31, 2019 (In thousands)
Fair Value
 
Gross
Unrealized
Losses(1)
Corporate debt securities
$
397,009

 
$
(2,076
)
U.S. Treasury securities
187,080

 
(1,203
)
U.S. Government agency securities
163,445

 
(776
)
Sovereign securities
10,991

 
(46
)
Total
$
758,525

 
$
(4,101
)
__________________ 
(1) As of March 31, 2019, we had investments in a continuous loss position for 12 months or more with a gross amount $4.1 million.

The contractual maturities of securities classified as available-for-sale, regardless of their classification on our Condensed Consolidated Balance Sheet, as of the date indicated below were as follows:
As of March 31, 2019 (In thousands)
Amortized Cost
 
Fair Value
Due within one year
$
606,043

 
$
603,536

Due after one year through three years
203,119

 
201,569

 
$
809,162

 
$
805,105


Actual maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Realized gains and losses on available-for-sale securities for the three and nine months ended March 31, 2019 and 2018 were immaterial.