San Diego, CA -- (SBWIRE) -- 10/06/2021 -- An investigation was announced concerning potential securities laws violations by Eargo, Inc. in connection with certain financial statements.

Investors who purchased shares of Eargo, Inc. (NASDAQ: EAR), have certain options and should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 - 1554.

The investigation by a law firm focuses on whether certain statements by Eargo, Inc regarding its business, its prospects and its operations were materially false and misleading at the time they were made.

San Jose, CA based Eargo, Inc., a medical device company, develops and sells hearing aids to assist people with hearing loss in the United States. On September 22, 2021, after market hours, Eargo, Inc. (NASDAQ: EAR) disclosed that "it is the target of a criminal investigation by the U.S. Department of Justice (the 'DOJ') related to insurance reimbursement claims the Company has submitted on behalf of its customers covered by federal employee health plans." The Company further stated that "[a]s previously disclosed, the Company has been the subject of an ongoing claims audit by an insurance company that is the Company's largest third-party payor. The Company has been informed by the insurance company that the DOJ is now the principal contact related to the subject matter of the audit." Finally, the Company announced that it "is withdrawing its financial guidance for the fiscal year ending December 31, 2021."

Shares of Eargo, Inc. (NASDAQ: EAR) declined from $22.28 per share on September 22, 2021, to $6.33 per share on September 23, 2021.

Those who purchased shares of Eargo, Inc. (NASDAQ: EAR) have certain options and should contact the Shareholders Foundation.

Contact:
Shareholders Foundation, Inc.
Michael Daniels
3111 Camino Del Rio North - Suite 423
92108 San Diego
Phone: +1-(858)-779-1554
Fax: +1-(858)-605-5739
mail@shareholdersfoundation.com

About Shareholders Foundation, Inc.
The Shareholders Foundation, Inc. is a professional portfolio monitoring and settlement claim filing service, , which does research related to shareholder issues and informs investors of securities class actions, settlements, judgments, and other legal related news to the stock/financial market. Shareholders Foundation, Inc. is in contact with a large number of shareholders and offers help, support, and assistance for every shareholder. The Shareholders Foundation, Inc. is not a law firm. Referenced cases, investigation, and/or settlements are not filed/reached and/or related to Shareholders Foundation. The information is provided as a public service. It is not intended as legal advice and should not be relied upon.