RIGEL PHARMACEUTICALS INC Fair Value Disclosure
9. FAIR VALUE
The table below summarizes the fair value of our cash equivalents and short-term investments measured at fair value on a recurring basis, and are categorized based upon the lowest level of significant input to the valuations (in thousands):
Assets at Fair Value as of December 31, 2024 | ||||||||||||
| Level 1 |
| Level 2 |
| Level 3 |
| Total | |||||
Money market funds | $ | 16,386 | $ | — | $ | — | $ | 16,386 | ||||
US treasury bills | — | 7,263 | — | 7,263 | ||||||||
Government-sponsored enterprise securities |
| — |
| 23,177 |
| — |
| 23,177 | ||||
Corporate bonds and commercial paper |
| — |
| 10,360 |
| — |
| 10,360 | ||||
Total | $ | 16,386 | $ | 40,800 | $ | — | $ | 57,186 | ||||
Assets at Fair Value as of December 31, 2023 | ||||||||||||
| Level 1 |
| Level 2 |
| Level 3 |
| Total | |||||
Money market funds | $ | 9,685 | $ | — | $ | — | $ | 9,685 | ||||
US treasury bills | — | 12,594 | — | 12,594 | ||||||||
Government-sponsored enterprise securities |
| — |
| 11,233 |
| — |
| 11,233 | ||||
Corporate bonds and commercial paper |
| — |
| 15,174 |
| — |
| 15,174 | ||||
Total | $ | 9,685 | $ | 39,001 | $ | — | $ | 48,686 | ||||
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2024 | Mar 4, 2025 | Showing above |
| 2023 | Mar 5, 2024 | |
| 2022 | Mar 7, 2023 | |
| 2021 | Mar 1, 2022 | |
About Fair Value Disclosures
Fair value disclosures classify all assets and liabilities measured at fair value into a three-level hierarchy: Level 1 (quoted market prices), Level 2 (observable inputs like yield curves), and Level 3 (unobservable inputs requiring management estimates). The proportion of Level 3 assets directly reflects how much of the balance sheet depends on internal models rather than market evidence.
Key signals: a growing Level 3 balance relative to total fair-value assets increases valuation uncertainty and earnings volatility risk. Watch for transfers between levels — assets moving from Level 2 to Level 3 often signal deteriorating market liquidity. Unrealized gains and losses on Level 3 positions flow through earnings or other comprehensive income, so large swings deserve scrutiny. For financial institutions, examine the sensitivity disclosures that show how Level 3 valuations change under alternative assumptions. Compare the fair value of debt against its carrying amount to gauge hidden leverage.