Amazon Stock (AMZN) Slips on Reports of Plans to Reduce USPS Deliveries

FomoAnxiety · 2026-03-18T16:11:00+00:00

Amazon plans to cut USPS deliveries by two-thirds, aiming for faster shipping options to compete with Walmart. This change negatively impacts USPS financially, as it relies on Amazon as its biggest customer. AMZN stock decreased 1.25%, but analysts still rate it a Strong Buy.

FomoAnxiety

2026-03-18 16:11:00

Abstract generation in progress

Amazon (AMZN) stock was down on Wednesday alongside reports that the e-commerce giant intends to reduce its reliance on the United States Postal Service (USPS). According to these reports, the company wants to cut its deliveries through the USPS by two-thirds before its contract with the organization ends in October.

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Amazon’s reported intent to shift away from the USPS for orders makes sense, as the company recently shifted to faster delivery times. It just launched one- and three-hour delivery options across several areas of the U.S. in a bid to better compete with retailer Walmart (WMT). This push for faster delivery times means the e-commerce company can’t wait for the slower delivery options offered by the USPS.

Amazon majorly ditching the USPS would be a huge blow to the organization. The e-commerce company is the USPS’ biggest customer, meaning a loss of business could be bad news for it. That’s doubly true at a time when the organization has warned that it’s running out of money. While the USPS is owned and run by the government, it doesn’t rely on tax dollars for funding.

Amazon Stock Slips Today

Amazon stock was down 1.25% on Wednesday, extending a 7.77% drop year-to-date. Despite these dips, the stock was still up 10.05% over the past 12 months.

AMZN stock trading activity today was light, with some 5.9 million shares traded, compared to a three-month average daily trading volume of about 57.41 million shares.

Is Amazon Stock a Buy, Sell, or Hold?

Turning to Wall Street, the analysts’ consensus rating for Amazon is Strong Buy, based on 40 Buy and three Hold ratings over the past three months. With that comes an average AMZN stock price target of $280, representing a potential 32.16% upside for the shares.

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