FULL PRODUCT VERSION :
java version "1.8.0_25"
Java(TM) SE Runtime Environment (build 1.8.0_25-b18)
Java HotSpot(TM) 64-Bit Server VM (build 25.25-b02, mixed mode)

ADDITIONAL OS VERSION INFORMATION :
Microsoft Windows [Version 6.1.7601]

A DESCRIPTION OF THE PROBLEM :
An exception has occurred in the compiler (1.8.0_25). Please file a bug at the Java Developer Connection (http://java.sun.com/webapps/bugreport) after checking the Bug Parade for duplicates. Include your program and the following diagnostic in your report. Thank you.
java.lang.NullPointerException
        at com.sun.tools.javac.code.Types.isConvertible(Types.java:290)
        at com.sun.tools.javac.comp.Check.assertConvertible(Check.java:922)
        at com.sun.tools.javac.comp.Check.checkMethod(Check.java:876)
        at com.sun.tools.javac.comp.Attr.checkMethod(Attr.java:3838)
        at com.sun.tools.javac.comp.Attr.checkIdInternal(Attr.java:3615)
        at com.sun.tools.javac.comp.Attr.checkMethodIdInternal(Attr.java:3522)
        at com.sun.tools.javac.comp.Attr.checkMethodId(Attr.java:3501)
        at com.sun.tools.javac.comp.Attr.checkId(Attr.java:3488)
        at com.sun.tools.javac.comp.Attr.visitSelect(Attr.java:3370)
        at com.sun.tools.javac.tree.JCTree$JCFieldAccess.accept(JCTree.java:1897)
        at com.sun.tools.javac.comp.Attr.attribTree(Attr.java:607)
        at com.sun.tools.javac.comp.Attr.visitApply(Attr.java:1843)
        at com.sun.tools.javac.tree.JCTree$JCMethodInvocation.accept(JCTree.java:1465)
        at com.sun.tools.javac.comp.Attr.attribTree(Attr.java:607)
        at com.sun.tools.javac.comp.Attr.attribExpr(Attr.java:649)
        at com.sun.tools.javac.comp.Attr.visitVarDef(Attr.java:1093)
        at com.sun.tools.javac.tree.JCTree$JCVariableDecl.accept(JCTree.java:852)
        at com.sun.tools.javac.comp.Attr.attribTree(Attr.java:607)
        at com.sun.tools.javac.comp.Attr.attribStat(Attr.java:676)
        at com.sun.tools.javac.comp.Attr.attribStats(Attr.java:692)
        at com.sun.tools.javac.comp.Attr.visitBlock(Attr.java:1142)
        at com.sun.tools.javac.tree.JCTree$JCBlock.accept(JCTree.java:909)
        at com.sun.tools.javac.comp.Attr.attribTree(Attr.java:607)
        at com.sun.tools.javac.comp.Attr.attribStat(Attr.java:676)
        at com.sun.tools.javac.comp.Attr.visitMethodDef(Attr.java:1035)
        at com.sun.tools.javac.tree.JCTree$JCMethodDecl.accept(JCTree.java:778)
        at com.sun.tools.javac.comp.Attr.attribTree(Attr.java:607)
        at com.sun.tools.javac.comp.Attr.attribStat(Attr.java:676)
        at com.sun.tools.javac.comp.Attr.attribClassBody(Attr.java:4342)
        at com.sun.tools.javac.comp.Attr.attribClass(Attr.java:4252)
        at com.sun.tools.javac.comp.Attr.attribClass(Attr.java:4181)
        at com.sun.tools.javac.comp.Attr.attrib(Attr.java:4156)
        at com.sun.tools.javac.main.JavaCompiler.attribute(JavaCompiler.java:1248)
        at com.sun.tools.javac.main.JavaCompiler.compile2(JavaCompiler.java:901)
        at com.sun.tools.javac.main.JavaCompiler.compile(JavaCompiler.java:860)
        at com.sun.tools.javac.main.Main.compile(Main.java:523)
        at com.sun.tools.javac.main.Main.compile(Main.java:381)
        at com.sun.tools.javac.main.Main.compile(Main.java:370)
        at com.sun.tools.javac.main.Main.compile(Main.java:361)
        at com.sun.tools.javac.Main.compile(Main.java:56)
        at com.sun.tools.javac.Main.main(Main.java:42)

ADDITIONAL REGRESSION INFORMATION:
java version "1.8.0_25"
Java(TM) SE Runtime Environment (build 1.8.0_25-b18)
Java HotSpot(TM) 64-Bit Server VM (build 25.25-b02, mixed mode)

STEPS TO FOLLOW TO REPRODUCE THE PROBLEM :
(1) Source code of StreamDemo3.java

package javautil.streams;

import java.util.*;
import java.util.stream.*;

public class StreamDemo3 {
   public static void main(String[] args) {
      ArrayList<Double> myList = new ArrayList<>();
      myList.add(7.0);
      myList.add(18.0);
      myList.add(10.0);
      myList.add(24.0);
      myList.add(17.0);
      myList.add(5.0);

      double productOfSqrRoots = myList.parallelStream().reduce(
            1.0,
            (a,b) -> a * Math.sqrt(b),
            (a,b) -> a * b
            );
      System.out.println("Product of square roots: " + productOfSqrRoots);
   }
}


(2) Compile using the following command: javac -verbose -d . StreamDemo3.java


REPRODUCIBILITY :
This bug can be reproduced always.