v3.26.1
Note 4 - Fair Value of Financial Instruments
 6 Months Ended
Jun. 30, 2026
Notes to Financial Statements  
Fair Value Disclosures [Text Block]

4. Fair Value of Financial Instruments

 

The Company’s financial instruments consist primarily of cash, cash equivalents, marketable securities, and accounts payable. The Company’s cash, cash equivalents, marketable securities and accounts payable approximate fair value due to their relatively short maturities. As of June 30, 2026, the net proceeds of the 2026 Private Placement and the 2026 Registered Direct Offering were held primarily as cash equivalents.

 

 

 

The following table presents the Company’s assets that are measured at fair value on a recurring basis:

 

   

June 30, 2026

  
   

(Level 1)

    

(Level 2)

    

(Level 3)

  
                         

Assets

                        

Cash equivalents:

                        

Money market accounts

   $ 17,193,943     $ —     $ —  

Commercial paper

     —       4,230,617       —  

Marketable securities:

                        

Commercial paper

   $ —     $ 988,540     $ —  

U.S. treasury bonds

     —       1,487,055       —  

Total assets measured at fair value

     17,193,943       6,706,212       —  

 

   

December 31, 2025

  
   

(Level 1)

    

(Level 2)

    

(Level 3)

  
                         

Assets

                        

Cash equivalents:

                        

Money market accounts

   $ 6,300,291     $ —     $ —  

Commercial paper

     —       999,330       —  

Marketable securities:

                        

Commercial paper

     —       11,139,880       —  

U.S. treasury bonds

     —       1,238,538       —  

U.S. government agency bonds

     —       250,552       —  

Total assets measured at fair value

     6,300,291       13,628,300       —  

 

The fair values of the Company’s Level 2 marketable securities are estimated primarily based on benchmark yields, reported trades, market-based quotes, issuer spreads, two-sided markets, benchmark securities, bids, offers, and reference data including market research publications, which represent a market approach. In general, a market approach is utilized if there is readily available and relevant market activity for an individual security. This valuation technique may change from period to period, based on the relevance and availability of market data.

 

The following is a summary of the Company's marketable securities which provides a reconciliation of amortized cost basis to fair value including cumulative unrealized gains and losses as of June 30, 2026 and December 31, 2025:

 

   

June 30, 2026

  
   

Amortized Cost

    

Unrealized

gains

    

Unrealized

losses

    

Fair Value

  

Commercial paper

   $ 988,567     $ —     $ (27 )   $ 988,540  

U.S. treasury bonds

     1,486,922       133       —       1,487,055  

Total

   $ 2,475,489     $ 133     $ (27 )   $ 2,475,595  

 

 

 

   

December 31, 2025

  
   

Amortized Cost

    

Unrealized

gains

    

Unrealized

losses

    

Fair Value

  

Commercial paper

   $ 11,134,856     $ 5,024     $ —     $ 11,139,880  

U.S. treasury bonds

     1,237,794       744       —       1,238,538  

U.S. government agency bonds

     250,504       48       —       250,552  

Total

   $ 12,623,154     $ 5,816     $ —     $ 12,628,970  

 

There were no transfers among Level 1, Level 2 or Level 3 categories in the three and six months ended June 30, 2026 or year ended December 31, 2025.