|Company Name||CareDx, Inc.|
On October 28, 2021, after the market closed, CareDx revealed that it had received a civil investigative demand from the U.S. Department of Justice as part of an investigation into the Company’s “business practices related to [its] kidney testing and phlebotomy services.” The Company had also received a subpoena from the U.S. Securities and Exchange Commission (“SEC”) for similar issues as well as certain accounting and public reporting practices.
On this news, the Company’s share price fell $19.34, or 27%, to close at $51.00 per share on October 29, 2021, thereby injuring investors.
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