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EVEN DOLLAR STORE CHAINS ARE SEEING A PULLBACK IN SPENDING AS HIGHER PRICES SQUEEZE MORE CONSUMERS

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Dollar Tree is slashing its full-year earnings and sales forecasts as its customers continue to struggle with higher prices and spend less.

EVEN DOLLAR STORE CHAINS ARE SEEING A PULLBACK IN SPENDING AS HIGHER PRICES SQUEEZE MORE CONSUMERS

Shares tumbled more than 10% before the opening bell Wednesday after hitting a 52-week low on the prior day. Less than a week ago, shares of rival bargain chain Dollar General had their biggest one-day decline ever after a dismal quarter.

Dollar Tree said that it now expects full-year adjusted earnings between $5.20 and $5.60 per share. Its prior outlook was for $6.50 to $7 per share.

The Chesapeake, Virginia, company also projected annual sales in a range of $30.6 billion to $30.9 billion, down from $31 billion to $32 billion.

Analysts polled by FactSet expect full-year earnings of $6.56 per share on revenue of $31.17 billion.

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