Amazon (AMZN) Stock: AI Assistant Rufus Could Drive $56 Billion in Sales Growth by 2028

TLDR

• Amazon stock has gained about 170% over the past three years, more than doubling the S&P 500’s 80% gain.
• Evercore ISI maintains an Outperform rating with a $335 price target, seeing 48% upside from current levels around $226.
• Amazon’s AI shopping assistant Rufus reached 250 million users in 2025 and generated $10 billion in additional gross merchandise value.
• Customers using Rufus are 60% more likely to complete purchases compared to those who don’t use the AI assistant.
• Analysts project Amazon’s AI commerce features could add $31 billion in revenue and $6.8 billion in operating income by 2028.

Amazon stock has been on a tear. Over the last three years, shares jumped 170% while the S&P 500 managed less than 80%.

Amazon.com, Inc., AMZN

Now analysts at Evercore ISI think the party’s far from over. They’re sticking with their Outperform rating and $335 price target.

That’s about 48% higher than the current price of $226. The reason? An AI shopping assistant you might not have heard of yet.

Rufus is Amazon’s answer to the AI revolution happening across retail. More than 250 million customers used it in 2025.

That’s not just a big number. It translated into $10 billion in extra merchandise sold.

Here’s the kicker: shoppers who use Rufus are 60% more likely to actually buy something. That conversion rate boost matters when you’re running the world’s largest online marketplace.

Evercore ISI projects Rufus and other AI commerce tools could pump up Amazon’s retail business by $56 billion in gross merchandise value by 2028. That’s a 4.4% increase.

And this is before most customers even know Rufus exists. Amazon hasn’t rolled out all its planned AI features yet either.

The Advertising Question

Some investors worry AI assistants might cannibalize advertising revenue. After all, if AI is guiding purchases, why would sellers need to pay for promoted listings?

Evercore sees it differently. They estimate Rufus could actually boost ad revenue by $4 billion or 3% by 2028.

The logic makes sense. When AI helps customers find what they want, those shoppers have higher intent.

Higher intent means they’re closer to buying. That makes them more valuable to advertisers willing to pay for those eyeballs.

Amazon’s advertising business already pulls in about 9% of total revenue. It’s becoming a secondary profit engine alongside Amazon Web Services.

AWS remains the crown jewel. It generated 60% of Amazon’s operating profit in the first nine months of 2025 despite accounting for just 18% of sales.

The cloud business controls 32% of the global market. Microsoft Azure sits at 22% and Google Cloud at 11%.

That dominance lets Amazon run its retail operations on razor-thin margins. Prime membership has topped 240 million paid subscribers.

The whole ecosystem works because AWS profits subsidize everything else. Cheap prices and fast shipping keep customers locked in.

Over the past three years, Amazon’s operating margin expanded from 2.4% in 2022 to 10.9% in the first nine months of 2025. Revenue growth hit double digits again after a slowdown during the inflation spike.

The Numbers Going Forward

Analysts expect revenue and earnings per share to grow at 12% and 20% annually through 2027. The stock trades at 29 times 2026 earnings.

If Amazon keeps up a 15% EPS growth rate through 2029 at the same valuation multiple, shares could climb more than 60% over three years. That would beat the S&P 500’s typical 10% annual return.

Evercore ISI estimates AI-powered commerce features could add $31 billion to Amazon’s 2028 revenue. That’s a 3% bump.

Operating income could see a bigger boost of $6.8 billion or 4.6%. The company trades at a PEG ratio of 0.62, suggesting the stock remains undervalued relative to growth.

Amazon Web Services revenue grew 11.48% over the last twelve months, reaching $691.33 billion in total company revenue. The AI boom in cloud spending shows no signs of slowing.

Rufus usage continues climbing before full feature rollout. AutoBuy and Predicting Bundling are still in development.

The post Amazon (AMZN) Stock: AI Assistant Rufus Could Drive $56 Billion in Sales Growth by 2028 appeared first on CoinCentral.