Investments In Marketable Securities

6 Months Ended

Jun. 30, 2022

Investments [Abstract]

Investments in Marketable Securities

Note 3—Investments in Marketable Securities

Investments in marketable securities consisted of the following as of June 30, 2022 and December 31, 2021 (in thousands):

	June 30, 2022
	Amortized		Gross Unrealized		Gross Unrealized			Fair
	Cost		Gains		Losses			Value
U.S. Treasury securities	$	5,016	$	—	$	(48	)	$	4,968
Asset-backed securities		4,017		—		(17	)		4,000
Total marketable securities	$	9,033	$	—	$	(65	)	$	8,968
	December 31, 2021
	Amortized		Gross Unrealized		Gross Unrealized			Fair
	Cost		Gains		Losses			Value
U.S. Treasury securities	$	15,272	$	—	$	(15	)	$	15,257
Commercial paper		28,980		—		-			28,980
Asset-backed securities		10,379		—		(14	)		10,365
Total marketable securities	$	54,631	$	—	$	(29	)	$	54,602

Unrealized gains and losses on marketable securities are recorded as a separate component of accumulated other comprehensive loss included in stockholders’ equity. Realized gains (losses) are included in interest income (expense) in the statement of operations and comprehensive loss on a specific identification basis. There were no marketable securities with a maturity of greater than one year for either period presented. To date, the Company has not recorded any impairment charges on marketable securities related to other-than-temporary declines in market value.

Accretion of bond discount and premium on marketable securities and interest income on marketable securities is recorded as interest income on the statement of operations and comprehensive loss.

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Financial assets and liabilities carried at fair value are classified and disclosed in one of the following three categories:

Level 1 — Quoted market prices in active markets for identical assets or liabilities.

Level 2 — Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities.

Level 3 — Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.

The following tables presents fair value of the Company’s marketable securities (in thousands):

	Fair Value Measurement as of June 30, 2022
	Level 1		Level 2		Level 3		Total
Assets
U.S. treasury securities	$	4,968	$	—	$	—	$	4,968
Asset-backed securities		—		4,000		—		4,000
Total assets	$	4,968	$	4,000	$	—	$	8,968
	Fair Value Measurement as of December 31, 2021
	Level 1		Level 2		Level 3		Total
Assets
U.S. treasury securities	$	15,257	$	—	$	—	$	15,257
Commercial paper		—		28,980		—		28,980
Asset-backed securities		—		10,365		—		10,365
Total assets	$	15,257	$	39,345	$	—	$	54,602