Galaxy Digital (GLXY) rose 18% to $19.90 after it approved a stock repurchase program of up to $200 million on Friday, authorizing it to repurchase its Class A common stock over the next 12 months.
The company said repurchases may be executed through the open market, privately negotiated transactions or other means, including trading plans under Rule 10b5-1. Galaxy added that it reserves the right to suspend or terminate the program at any time, depending on market conditions and other factors.
This announcement demonstrates management’s confidence that Galaxy’s stock price is undervalued and that the company has excess capital to deploy. Stock buyback programs typically 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.
“We enter 2026 in a strong position with a strong balance sheet and continued investment in Galaxy’s growth,” said Galaxy founder and CEO Mike Novogratz. “This foundation gives us the flexibility to return capital to shareholders when we believe our stock does not reflect the value of the business.”
The sharp move higher reflects investor recognition of the news.
Galaxy reported fourth-quarter earnings earlier this week, which initially weighed on the stock. The company reported a net loss of $482 million for the quarter, causing the stock to initially fall. Despite the quarterly loss, Galaxy said its full-year adjusted gross profit was $426 million and it ended the year with $2.6 billion in cash and stablecoins, highlighting its liquidity position.
Other crypto stocks and major cryptocurrencies were also in the green during the day’s trading, with Bitcoin Ethereum price recovers to $70,000 It broke above $2,000 in the past 24 hours. Coinbase (COIN) rose more than 10% to $163. In more traditional markets, the Dow Jones Industrial Average topped 50,000 for the first time.
