Lands' End Still Has Further to Go

Catalog retailer Lands' End (LE Quote) has had quite a run recently.

After reporting third-quarter results in early November that blew by estimates -- 41 cents a share compared with the Thomson Financial/First Call consensus of 18 cents -- shares rocketed up more than 50% to hit a new 52-week high of $53.38. Shares have since retreated a bit, and lately traded at $44.30.

Sun Glenn Curtis and Jim Seymour Verizon Scott Moritz and Cody Willard DoubleClick Gary B. Smith and George Mannes Lowe's Glenn Curtis and Chris Edmonds Kmart Glenn Curtis and Tim Arango

The Dodgeville, Wisc.-based company, which is one of the few retailers to boast a profitable Web unit, owes much of its success to its merchandise. Its high-quality chinos and sweaters are simply what customers want. While other retailers have been forced to slash prices to attract customers, Lands' End has done the opposite: Its liquidation sales were down $15 million in the third quarter compared with the year-ago period, while its full-priced U.S. consumer sales grew 16%. ...