Although a shift to cost-cutting efforts sounds like it would have benefitted dollar stores, the discounters are increasingly losing market share to value retailers like Walmart and e-commerce retailers like Temu. Dollar Tree fell short of expectations for holiday-quarter sales in its fourth quarter earnings report, meanwhile its main competitor Dollar General surpassed estimates. Dollar Tree has been in the midst of a broader turnaround effort since current CEO and former Dollar General CEO Richard Dreiling took the helm in early 2023. Shares of the company have pulled back roughly 15% in 2024.