Flooring Guide by Cinvex JAKARTA — PT Bukalapak.com Tbk. (BUKA) is beginning to see positive results from its strategic maneuver into the gaming business. However, despite this early success, several risks are projected to cast a shadow over BUKA’s performance in 2026.
Abdul Azis Setyo Wibowo, an analyst at Kiwoom Sekuritas, explains that Bukalapak’s (BUKA) shift towards the gaming sector signifies the company’s proactive efforts to discover new avenues for growth. This move comes as its core e-commerce business experiences relatively limited expansion. Bukalapak is strategically leveraging Indonesia’s vast digital user base and exploring monetization opportunities through digital content and services. Nevertheless, Azis cautions, “The gaming sector is characterized by intense competition and demands substantial investment and robust execution to significantly contribute to revenue and profitability.”
Azis emphasizes that investors should closely monitor BUKA’s ability to manage costs, the clarity of its gaming monetization strategies, and the overall impact on the group’s performance. The company’s financial discipline will be crucial in navigating this competitive landscape.
Meanwhile, Etta Rusdiana Putra, an analyst at Maybank Sekuritas, projects continued growth momentum for BUKA, primarily fueled by its burgeoning gaming business. Maybank Sekuritas anticipates that this segment will contribute a substantial Rp5.4 trillion to Bukalapak’s full-year revenue in 2026, representing approximately 80% of its total income, with an impressive 7% year-on-year growth. By strategically withdrawing from the intensely competitive marketplace, Maybank Sekuritas believes BUKA has effectively avoided the necessity for costly marketing expenditures.
“We view BUKA’s core business as now centered on gaming distribution and O2O (online-to-offline) services, complemented by selective expansion into retail operations and investments,” Etta elaborated in her research. She also noted that BUKA is expected to maintain its cost efficiency throughout 2026. However, she added, the inherent limitations in growth opportunities within the broader technology ecosystem could restrict the company’s potential to achieve a premium valuation.
On a more positive note, Maybank Sekuritas anticipates that BUKA will remain conservative in managing and utilizing its substantial cash reserves, a point underscored by the fact that Bukalapak (BUKA) Still Holds Rp4.28 Trillion in IPO Funds Until End of 2025. For BUKA stock recommendations, Kiwoom Sekuritas advises a ‘wait and see’ approach, pending confirmation signals once the stock breaks out of the Rp160 per share area. Maybank Sekuritas, conversely, issues a ‘hold’ recommendation for BUKA, setting a target price of Rp170 per share.
Maybank Sekuritas interprets BUKA’s operational characteristics as resembling an investment holding company, with limited scope for significant business expansion. “This characteristic creates a ‘cash trap’ scenario, where BUKA’s considerable cash reserves are unlikely to be allocated to high-yield growth initiatives,” Etta concluded, highlighting the nuanced investment outlook for the technology firm.
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Summary
Bukalapak (BUKA) is strategically shifting into the gaming business to find new avenues for growth, given the limited expansion in its core e-commerce operations. Kiwoom Sekuritas notes that this sector is highly competitive, requiring substantial investment and robust execution, urging investors to monitor BUKA’s cost management and monetization strategies. Conversely, Maybank Sekuritas projects the gaming segment to be a primary growth driver, contributing a significant 80% of Bukalapak’s total revenue by 2026.
Maybank Sekuritas expects BUKA to maintain cost efficiency and manage its substantial cash reserves conservatively, including Rp4.28 trillion in IPO funds until late 2025. However, they suggest growth limitations in the broader technology ecosystem could restrict premium valuation and describe BUKA as an investment holding company with a “cash trap” scenario. Kiwoom Sekuritas advises a ‘wait and see’ approach, while Maybank Sekuritas issues a ‘hold’ recommendation with a target price of Rp170 per share.