Galaxy Digital’s shares fell more than 6% after the company reported a net loss of $482 million in the fourth quarter of 2025. The drop intensified sensitivity to both macro conditions and regulatory uncertainty in the crypto market.
According to Galaxy disclosures, the quarterly net loss was driven largely by depreciation in digital-asset valuations. During Q4 2025, total cryptocurrency market capitalization declined by roughly 24%, directly weighing on the value of on-balance-sheet holdings.
From a financial standpoint, the company reported a net loss of $482 million for the fourth quarter of 2025, with diluted EPS of $(1.08), coming in below already negative analyst expectations. In the Treasury and Corporate segment, adjusted gross profit totaled $(454) million, while adjusted EBITDA reached $(488) million.
Meanwhile, the Digital Assets segment posted adjusted gross profit of $51 million, down sharply from $318 million in the prior quarter. The segment performance reflected both mark-to-market losses on holdings and reduced trading activity amid a tighter macro environment.
Galaxy Digital’s fall in the market and its repercussions
Premarket selling followed the disclosure, and analysts had already signaled caution prior to the announcement. Cantor Fitzgerald lowered its price target from $53 to $48 on February 2, the day before the earnings announcement.
The stock’s reported beta of 3.83 indicates disproportionate sensitivity to market movements, while an Altman Z-score of 1.74, mentioned in the earnings commentary, places the company in a zone of high financial stress.
Observers cited persistent regulatory uncertainty, including questions about stablecoin rules, as an additional headwind amplifying investor reaction to weak quarterly numbers.
Investors will be watching Galaxy’s webcast and investor call on February 3 to review the results and hear management’s explanation of the losses and any near-term liquidity or risk management plans.
