The average SpaceX buyer post-IPO is almost under water after two-day slide

The average investor bought SpaceX Shares traded on the open market following their debut saw almost all of their gains disappear as a sharp pullback erased much of the stock’s post-IPO rally.

Shares of SpaceX fell 3.6% on Thursday to just under $184.98 per share. The stock’s five-day volume weighted average price, or VWAP, is $181.7 per share. VWAP measures the average price at which a security has traded throughout the day, weighted by trading volume, and is widely used by investors to gauge their positions.

This move suggests that the average post-IPO buyer has now nearly reached breakeven.

The stock rose from its $135 IPO price to an intraday high of $225 on Tuesday as investors piled into one of the most anticipated IPOs in years. But since then, shares have fallen 20%, erasing most of the gains accumulated after the exit. It is now back to where it traded on Monday, the second day.

The decline also squeezed profits for thousands of retail investors who accessed the IPO through brokerage platforms such as Robinhood, Fidelity and SoFi. While many individual investors received only a fraction of the shares they requested (in some cases, only one or a handful of shares), these allotments were purchased at the $135 offer price and generated gains even after the recent pullback.

This reversal underscores how quickly sentiment changed after the company’s blockbuster debut. Investors, who briefly brought SpaceX’s market value close to $ 3 trillion, began to re-evaluate whether the rapid rise of the stock could be justified by fundamental data.

— CNBC’s Chris Hayes and Deena Zaidi contributed to the story.