i also second DA's and djgustashaw's recommendations on early Verve. The Verve EP and A Storm in Heaven are absolutely some of the most mesmerizing music of all time.
i also second DA's and djgustashaw's recommendations on the first BRMC album. definately has a lot of JAMC influences, but also has enough variation within the songs, with noisy rockers like "Love Burns" and "Whatever Happened to My Rock 'N' Roll" to droney dirges like "As Sure as the Sun" and "Rifles." the second album seems to lack that variation.
besides Psychocandy, Honey's Dead is JAMC's masterpiece, which features the best examples of noise mixed with dance beats. it also boasts the best opening line ("I wanna die like Jesus Christ") since The Cure's Pornagraphy ("It doesn't matter if we all die").
My Vitriol is one of the best newer bands out there. their mix between layered shoegaze and an uncompromising rock attitude sounds fresh and energetic. Finelines is definately worthy to pick up. i've heard that their second album is near completion.
The Doves' first album Lost Souls also has some shoegazing elements, although not a apparant as other bands out there. the album is ethereal and melodic, with strong hints of Radiohead and The Verve.
Swervedriver is a band i havn't seen mentioned in a long time. i agree with DA that Raise is a shoegaze must have. it's swirling and noisy, but harder edged than many other early shoegaze bands. Mezcal Head has a stronger set of songs, although it loses some of Raise's textures. "Duel" and "Last Train to Satansville" are classics.
Lush's Spooky... "Nothing Natural," "Covert," and "Superblast!" alone are worth the price of admission.
Catherine Wheel's Ferment and Chrome are classics as well... as DA has mentioned. along with Ride's "Nowhere," MBV's "Loveless," and Slowdive's "Souvlaki," there are shoegaze must haves.