The Klein Law Firm announces that a class action complaint has been filed on behalf of shareholders of CareDx, Inc. (NASDAQ: CDNA) who purchased common stock between February 24, 2021, and May 5, 2022, inclusive. The action, which was filed in the United States District Court for the Northern District of California, alleges that the Company violated federal securities laws.
In particular, the CareDx lawsuit alleges that (1) defendants had engaged in a variety of improper and illegal schemes to inflate testing services revenue and demand, including pushing a surveillance protocol through inaccurate marketing materials, offering extravagant inducements or kickbacks to physicians and other providers, and improperly bundling expensive testing services with other blood tests as part of the Company’s RemoTraC service for remote, home-based, blood-drawing; (2) these practices, and others, subjected CareDx to an undisclosed risk of regulatory scrutiny; (3) these practices rendered the Company’s testing services revenue reported throughout the class period artificially inflated; and (4) as a result, defendants’ positive statements about the Company’s business, operations, and prospects were materially false and misleading and/or lacked a reasonable basis at all relevant times.
Shareholders have until July 22, 2022 to petition the court for lead plaintiff status. Your ability to share in any recovery does not require that you serve as lead plaintiff. You may choose to be an absent class member.