Novogratz Buys $9.9M in Galaxy After 41% Stock Slide

By Daniel Okafor

Galaxy Digital founder and CEO Mike Novogratz disclosed buying 760,000 Class A shares in Galaxy Digital Inc. (NASDAQ: GLXY) on Nov. 5, 2026. The average price was $12.98 per share, putting the transaction at about $9.9 million.

The purchase followed a month-long selloff. GLXY fell 7% to $12.98 on the day Novogratz bought, leaving the shares near their 52-week low of $11.78. Between Oct. 6 and Nov. 5, Galaxy lost about 41% of its value; one measure of the monthly decline put it at 43.5%.

What is Novogratz betting on?

Novogratz described the purchase as a wager on generational shifts in onchain finance and AI infrastructure. He also argued that the market's valuation of Galaxy sat well below what he considered the company's underlying corporate value.

“Massive disconnect,” he said, characterizing the gap between Galaxy’s share price and the business.

That thesis combines Galaxy's two main lines of business: deep roots in digital assets and a growing data-center operation tied to demand for AI infrastructure. The CEO used personal capital to express confidence in both sides of the company just as public-market pricing reflected concern across crypto-linked and AI-linked equities.

Why did Galaxy shares fall?

The broader retreat from high-beta stocks tied to crypto and artificial intelligence hit Galaxy as well. Its position at the intersection of those themes left it exposed to a sector-wide pullback, rather than an isolated company event.

Bitcoin added pressure. The largest cryptocurrency slipped below $76,000, weighing on companies whose fortunes track the digital-asset market.

Texas created a separate operating concern. Political uncertainty around data-center operations contributed to the stock's decline. That risk matters because Galaxy's growth strategy depends on operating and expanding those facilities, and any regulatory or political shift in the state could affect the segment's performance.

What does the buyback authorization mean?

Novogratz is not the only buyer of Galaxy stock. The company's board recently approved an additional $200 million share-repurchase program, adding to a repurchase effort that had already reached 9.8 million shares as of the Q3 earnings report.

The authorization adds a corporate route to repurchase GLXY stock alongside the CEO's disclosed transaction. It may also prompt some long-term investors to reassess the stock, though neither action resolves Galaxy's Texas operating question.

What do the operating numbers show?

Galaxy's data-center business posted adjusted EBITDA of $69 million in Q3, up from $11 million in Q2. That improvement created a sharp divergence with the stock's performance: GLXY fell roughly 41% over the month even as a key growth business delivered much stronger quarterly results.

The data-center figures give Galaxy a concrete operating basis for its growth narrative, while digital-asset exposure still ties sentiment to bitcoin and crypto markets. The segment's dependence on Texas operating conditions also means policy uncertainty can affect expansion even when quarterly profitability improves.

What should investors watch next?

Novogratz bought at $12.98, not far from the $11.78 52-week low, and has roughly $9.9 million of his own money behind his valuation claim. The board's new authorization creates a second potential source of demand for GLXY shares.

The next checkpoint is whether Galaxy converts the $200 million authorization into actual repurchases while changes in Texas policy shape the expansion of facilities behind its $69 million quarterly EBITDA segment.