Why Eargo Shares Soared Today

Eargo Inc EAR traded significantly higher Thursday after the company announced the U.S. Department of Justice (DOJ) confirmed that its previously-announced criminal probe is no longer active.

In September, Eargo announced that the company was informed that it was the target of an ongoing criminal investigation by the DOJ related to insurance reimbursement claims Eargo submitted.

The claims were submitted on behalf of its customers covered by various federal employee health plans under the Federal Employee Health Benefits program.

The DOJ informed the company Tuesday that the investigation has been referred to the Civil Division of the DOJ and the criminal investigation was dismissed, according to a Form 8-K filing with the U.S. Securities and Exchange Commision.

Eargo is a medical device company focused on improving the quality of life of people with hearing loss.

See Also: What's Going On With Walgreens Shares Today?

EAR Price Action: Eargo has traded as low as $4.49 and as high as $76.75 over a 52-week period.

The stock closed up 59.65% at $7.28 on Thursday.

Photo: Collision Conf from Flickr.