In a notable shift in the stock market, shares of major U.S. retailers are experiencing significant declines, with Amazon (NASDAQ: AMZN), Walmart (NYSE: WMT), and Target (NYSE: TGT) all seeing drops of over 10% in March, according to data from S&P Global Market Intelligence. This downturn is primarily attributed to mounting concerns over potential changes to tariff policies, which have sparked broader economic uncertainty. As a result, the S&P 500 index itself fell by 5% in the same month, reflecting investors' anxieties about the implications of a forthcoming tariff plan from President Donald Trump. These three mega-retailers, crucial players in the global market, are particularly sensitive to tariff fluctuations due to their varying levels of international operations. While both Amazon and Walmart have extensive global presences, Target operates primarily within the U.S. market but is still affected by the proposed tariffs due to its reliance on imported goods. Among the trio, Target suffered the steepest decline, losing 16% of its stock value in March. The retailer's struggles in the marketplace have been exacerbated by a broader trend of decreasing discretionary spending among consumers. Unlike its competitors, Target has historically focused less on grocery sales and more on discretionary items such as home goods, clothing, and electronics. This strategic focus has proven challenging as consumers tighten their wallets, leading to difficulties in both sales and profitability. In its latest fiscal report for 2025, which concluded on February 1, Target reported a modest 1% increase in comparable sales. However, the company's earnings per share (EPS) took a hit, falling by 19%. In response to these challenges, Target has initiated a strategic overhaul aimed at revitalizing its core categories with enhanced product offerings and improved omnichannel shopping experiences. While these initiatives are designed to drive growth, their success is heavily contingent on favorable economic conditions, which are now at risk due to the unpredictable tariff environment. Conversely, both Amazon and Walmart, despite their recent stock declines of 10.4% and 11% respectively, continue to exhibit strong overall performance metrics that suggest resilience. Amazon's diverse business ecosystem, which includes its highly profitable Amazon Web Services (AWS) division and emerging ventures in generative artificial intelligence (AI), provides a cushion against the potential fallout from tariffs. AWS, specifically, demonstrated robust growth with a 19% increase in sales last year, contributing to an overall company sales growth of 11%. Walmart, often regarded as a stalwart in the retail sector, is characterized by its significant focus on consumer staples, which may offer it some insulation against tariff impacts. The company's sales rose by 5.1% in fiscal 2025, with EPS increasing by an impressive 13%. Walmart's strategy involves leveraging its vast network of nearly 5,000 U.S. stores as distribution and delivery centers for its growing e-commerce operations. With a global footprint of about 11,000 total stores, Walmart's international retail chains provide additional revenue streams, although its U.S. operations remain heavily reliant on imports, similar to its competitors. As the market continues to navigate this turbulent landscape, the implications of the tariff discussions loom large for these major retailers. Investors are closely watching how these companies will adapt to changing economic conditions and what measures they will take to mitigate potential impacts on their bottom lines.