United Parcel Service (UPS) has begun testing smart locking technology in New York City apartment buildings that helps secure multiple packages in specific locations. Investors worry that Amazon's (AMZN) push into the delivery space and the looming global trade war could hurt UPS. The stock is down 7% year to date and 16% in the last six months. The company has already partnered with startup Latch to allow UPS drivers to have different login credentials for each building on a route. Market analysts believe that smart locking technology coupled with last-mile delivery will help reduce package theft and the need for repeated delivery attempts. Say no to plagiarism. Get a tailor-made essay on "Why Violent Video Games Shouldn't Be Banned"? Get an original essay This smart lock is very similar to technology tested by FedEx (FDX), Amazon (AMZN), and Walmart (WMT). Delivery companies have invested heavily to handle the growing demand for e-commerce deliveries. Residential deliveries have generally remained more expensive than business deliveries as more packages are delivered per stop to offices than to homes. In June, UPS announced a five-year deal with the International Brotherhood of Teamsters union, possibly hinting at Sunday deliveries, higher pay for employees and offers of greater flexibility in UPS's cost structure. The new agreements will come into force on August 1, 2018, once ratified by employees. In the midst of these, UPS is expected to release its second-quarter earnings on July 25 before the market opens. Market analysts expect the company to post a 22.20% increase in earnings for the second quarter on 10.1% sales growth. Furthermore, investors are expected to remain neutral on the stock, as recommended by 19 of the 26 analysts, who maintained a "hold" rating. Amazon's intention to help customers build their own delivery business and last-step delivery option called Hub remained a crucial battle against UPS. Market analysts expect UPS to react with new strategies to survive in the delivery race. Please note: this is just an example. Get a custom paper from our expert writers now. Get a Custom Essay Additionally, research firm UBS Securities believes that national trends could benefit UPS better, and improvement in margin performance and operating income is expected in the near term. Bernstein continues to view UPS as an attractive buying option. Despite concerns over trade wars and Amazon's delivery expansion, market analysts have advised investors to focus on UPS's profit margin growth from upcoming quarterly results, aided by growth in e-mail delivery volumes. commerce. UPS shares are trading 0.02% lower at $110.63 on the NYSE as of 12:49 p.m. ET. The stock has traded between $101.45 and $135.53 over the last 52 weeks.