diff --git a/packages/calcite-components/src/components/action-menu/action-menu.e2e.ts b/packages/calcite-components/src/components/action-menu/action-menu.e2e.ts
index 772c1b60644..5ebc0677d44 100755
--- a/packages/calcite-components/src/components/action-menu/action-menu.e2e.ts
+++ b/packages/calcite-components/src/components/action-menu/action-menu.e2e.ts
@@ -135,6 +135,10 @@ describe("calcite-action-menu", () => {
 
     const actionMenu = await page.find("calcite-action-menu");
 
+    const popover = await page.find("calcite-action-menu >>> calcite-popover");
+
+    expect(await popover.getProperty("autoClose")).toBe(true);
+
     expect(await actionMenu.getProperty("open")).toBe(true);
 
     const outside = await page.find("#outside");
diff --git a/packages/calcite-components/src/components/action-menu/action-menu.tsx b/packages/calcite-components/src/components/action-menu/action-menu.tsx
index d24fd9f4ddd..556f1b5783f 100755
--- a/packages/calcite-components/src/components/action-menu/action-menu.tsx
+++ b/packages/calcite-components/src/components/action-menu/action-menu.tsx
@@ -4,7 +4,6 @@ import {
   Event,
   EventEmitter,
   h,
-  Listen,
   Method,
   Prop,
   State,
@@ -133,21 +132,6 @@ export class ActionMenu implements LoadableComponent {
    */
   @Event({ cancelable: false }) calciteActionMenuOpen: EventEmitter<void>;
 
-  @Listen("pointerdown", { target: "window" })
-  closeCalciteActionMenuOnClick(event: PointerEvent): void {
-    if (!isPrimaryPointerButton(event)) {
-      return;
-    }
-
-    const composedPath = event.composedPath();
-
-    if (composedPath.includes(this.el)) {
-      return;
-    }
-
-    this.open = false;
-  }
-
   // --------------------------------------------------------------------------
   //
   //  Private Properties
@@ -304,10 +288,12 @@ export class ActionMenu implements LoadableComponent {
 
     return (
       <calcite-popover
+        autoClose={true}
         flipPlacements={flipPlacements}
         focusTrapDisabled={true}
         label={label}
         offsetDistance={0}
+        onCalcitePopoverClose={this.handlePopoverClose}
         open={open}
         overlayPositioning={overlayPositioning}
         placement={placement}
@@ -513,4 +499,8 @@ export class ActionMenu implements LoadableComponent {
     this.el.addEventListener("calcitePopoverOpen", this.toggleOpenEnd);
     this.open = value;
   };
+
+  private handlePopoverClose = (): void => {
+    this.open = false;
+  };
 }