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Strategies & Market Trends : Rande Is . . . HOME -- Ignore unavailable to you. Want to Upgrade?

To: Rande Is who wrote (8033)	6/6/1999 9:59:00 PM
From: Jason W	Read Replies (2) \| Respond to of 57584

Off topic--- SKX (Skechers) goes public this week. The expected price range is $13-15. The company is still very hot. My comments are two-fold. First, the offering price seems a bit high to me. The shoe sector is rebounding some, but many companies remain beaten down. Second, this IPO may focus some attention on the footwear companies. Being in the shoe business, I would highly recommend focusing on the wholesalers and staying away from the retailers. Retailers are faring VERY poorly(except my store, but we're not public yet:-)). Bottom fishing is one thing, but most of these companies have genuine problems. Companies that have already moved: SCNYA, SCNYB, and KSWS. I wouldn't play any of these now. Too late. Companies that I like at these prices: DK, KCP, and SHOO. Donna Karan's kids line is selling through VERY well at retail, and they have a new distributor for womens sneakers in the N.E. KCP is launching a line of jeans that will be carried in every major dept. store. SHOO may be the best sympathy play related to SKX. SHOO is undervalued and may be one of the gems this thread wants to look at. Any chart geniuses may want to give some input on this one. Other shoe company thoughts: Major rumors going around that CVE is going to be bought out. That is why the stock has gone from <3 to 5 1/2 in short order. The present owners of CVE paid in the neighborhood of $8-10 for the company, so I doubt the buyout would be for less. Buying CVE on a dip would be a low-risk play. RBK has floundered for a long-time, and is trying to rebound. Still not convinced on them. TBL isn't cheap, but they are the premier boot company, period. WWW has their so many name brands under their umbrella, people don't know it. $13 is up from $8, but still way off their highs. WWW is well run, just poor name recognition. (WWW makes Hush Puppies, Harley Davidson, and Caterpillar Boots) Companies in BIG trouble: FEET, TSA, and SRR. FEET and TSA are retailers. TSA may become the Boston Market of the retail biz. FEET may come back, but I would read their latest earning report to get an idea of what you may be getting into. SRR is just a floundering waste of a shoe company, IMO. Oh, if anyone considers buying FLH, just donate the money to charity, at least you'll feel good for doing it. They have destroyed their US business. I have never seen a shoe company ruin a brand name so completely. IMO, SHOO and KCP are the strongest plays in the footwear sector right now. I'm not sure if anyone here is interested in any of this, but footwear is my biz, and some of these companies are going to move. I won't comment on what I don't know, and with the SKX IPO, I figured this may be a good time to contribute some footwear insight. Jason W