Shares of Galaxy Digital (GLXY) rose 18% to $19.90 on Friday after the company approved a share repurchase program of up to $200 million, giving it authority to repurchase its Class A common stock over the next 12 months.
Buybacks can 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 reserves the right to suspend or discontinue the program at any time, depending on market conditions and other factors.
The announcement indicated management’s confidence that Galaxy shares are undervalued and that the company has excess capital to deploy. Share buyback 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.
“We are entering 2026 from a strong position, with a strong balance sheet and continued investment in Galaxy’s growth,” said Mike Novogratz, founder and CEO of Galaxy. “That basis gives us the flexibility to return capital to shareholders when we believe our actions do not reflect the value of the business.”
The strong bullish movement reflects investors’ approval of that message.
Galaxy reported fourth-quarter earnings earlier this week that initially weighed on the stock. The company posted a net loss of $482 million during the quarter, sending the stock down initially. Despite the quarterly loss, Galaxy said it generated $426 million in full-year adjusted gross profit and ended the year with $2.6 billion in cash and stablecoins, underscoring its liquidity position.
Other cryptocurrency stocks and major cryptocurrencies were also in the green in the day’s trading, with bitcoin rising back to $70,000 and ethereum surpassing $2,000 in the last 24 hours. Coinbase (COIN) had risen more than 10% to $163. In more traditional markets, the Dow Jones Industrial Average surpassed 50,000 points for the first time.
