he may be punishing you for moving the bishop there now. it would've looked better on c4, still would. you have a few options but i don't think you can punish him. i think white lost a tempo, but can continue with development. you shouldn't exchange pieces though unless there's a good reason for it.
ruy lopez 3.nd4
I would be tempted to go for
4. Nxe5 Nxb5
5. Nxf7 Kxf7
6. Qh5+ g6
7. Qxb5
You lose the bishop for two pawns, an exposed king and a strong claim in the center. A risky strategy with more analysis required i reckon.
Still, hope it helps :)

whoops!! sorry Ninjalol, my mistake! shows how much i know
Thanks tonydal. i checked the game explorer... 4.Nxd4 is by far the most popular and successful continuation of the Bird variation amoung master games here. I'll have to give it a whirl!
white to move do i just take the knight and give black a strong pawn how can i punish him for moveing knight twice in a row