While gains in technology stocks led a rally on Wall Street, at least one direct marketer also had its share of good tidings. Land’s End’s stock price surged yesterday, posting a closing price of $68.88, which represented an all-time 52-week high.
The Dodgeville, WI, clothing direct marketer also has experienced a steady climb in earnings this year, including robust second quarter results announced in August, although there is no link of more recent news from the $254 million company that might account for the record stock price.
Land’s End’s earnings are expected to climb in both 2000 and 2001, and profits will grow 54 percent, according to financial analyst forecasts, including Credit Suisse First Boston and First Union Capital Markets, signaling that Wall Street is confident the company’s high inventory levels and high interest expense a year ago may be a thing of the past.
It’s better than expected second quarter earnings results in August were attributed to strong performance in its international and specialty businesses, as well as its efforts to reduce inventory and expenses, according to the company. A Land’s End spokeswoman said company executives would not comment on the recent surge in stock price or speculate about the reasons behind it, although she said, “We are very happy that it’s at an all-time high.”