(Bloomberg) -- The breathless five-day rally in Rivian Automotive Inc. came to an abrupt halt on Wednesday, wiping out over $23 billion from the newly public electric-truck maker’s valuation.
Shares of the startup, which made its trading debut last week and saw its stock skyrocket over five days, dropped as much as 18% to $140.35 in New York. That took out a chunk roughly equivalent to the combined size of American Airlines Group Inc. and News Corp.’s current market capitalizations.
The stock pared some of those losses to close down 15% at $146.07.
Despite those declines, Rivian is still worth about $130 billion. It did, however, lose the lead over Volkswagen AG that it gained on Tuesday.
The rapid rally in Rivian comes amid a growing demand among investors for EV-related stocks, as governments and corporations globally announce policies and plans to address the challenges related to climate change. The rise of retail trading trends and a cash-rich environment have added further fuel to the rally.