Galaxy’s 18% Sparkle: Buybacks & Bitcoin Dreams!

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Markets

What to know:

  • Shares of Galaxy Digital jumped 18% to $19.90 after the company authorized a share repurchase program of up to $200 million over the next 12 months. (Because nothing says “confidence” like buying your own stock while losing money!)
  • The buybacks, which may be conducted in the open market or through private transactions, signal management’s view that the stock is undervalued and that the firm has excess capital. (Or, as we like to call it, “a clever way to make their stock look more valuable, even if it’s just a temporary fix.”)
  • Despite reporting a fourth-quarter net loss of $482 million, Galaxy highlighted $426 million in adjusted gross profit for the year and $2.6 billion in cash and stablecoins, underscoring its liquidity and balance-sheet strength. (Because who doesn’t love a company that’s “strong” enough to lose a small fortune and still have a mountain of cash and crypto coins?)

Shares of Galaxy Digital (GLXY) jumped 18% to $19.90 on Friday after the company approved a share repurchase program of up to $200 million, giving it authority to buy back its Class A common stock over the next 12 months. (Because nothing says “we’re thriving” like a 18% spike after a $482 million loss!)

The buybacks may be executed through the open market, privately negotiated transactions or other methods, including trading plans under Rule 10b5-1, the company said. Galaxy added that it retains the right to suspend or discontinue the program at any time, depending on market conditions and other factors. (Because, of course, nothing is certain except the uncertainty of the stock market!)

The announcement signaled confidence from management that Galaxy’s shares are undervalued and that the firm has excess capital to deploy. Share repurchase programs often support stock prices by reducing the number of shares outstanding, which can boost earnings per share and signal balance-sheet strength. In volatile markets, buybacks can also reassure investors that management believes the company’s fundamentals remain intact. (Or, as the CEO might say, “We’re not worried! We’re just playing with numbers!”)

“We are entering 2026 from a position of strength, with a strong balance sheet and continued investment in Galaxy’s growth,” said Mike Novogratz, founder and CEO of Galaxy. “That foundation gives us the flexibility to return capital to shareholders when we believe our stock doesn’t reflect the value of the business.” (Because nothing says “trust us” like a CEO who’s clearly never met a spreadsheet they didn’t adore.)

The sharp move higher reflects investor approval of that message. (Or, as the skeptics might say, “We’re all just here for the ride.”)

Galaxy reported fourth-quarter earnings earlier this week that initially weighed on the stock. The company posted a net loss of $482 million for the quarter, sending shares down initially. Despite the quarterly loss, Galaxy said it generated $426 million in adjusted gross profit for the full year and ended the year with $2.6 billion in cash and stablecoins, underscoring its liquidity position. (Because who doesn’t love a company that’s “liquid” enough to lose $482 million and still have a wallet full of crypto?)

Other crypto stocks and major cryptocurrencies were also green on the day’s trading, with bitcoin climbing back to $70,000 and ethereum breaking $2,000 over the last 24 hours. Coinbase (COIN) had climbed over 10% to $163. In more traditional markets, the Dow Jones Industrial Average broke 50,000 for the first time. (Because nothing says “economic stability” like a stock market that’s either soaring or sinking-depending on the day!)

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2026-02-06 23:27