To Skins or not to Skins

That's right, Skins Inc., the latest hot footwear Co is on my radar. In earlier pieces, I noted that the Co will present its first shoe at a footwear conference. Well, that conference begins on Monday, and there's optimism (again) that the shoe will be available to consumers in the coming week.

For the longs who held tightly to their shares through major volatility (from $2 to 76¢ in May), yesterday's closing price of $2.05 is vindication. With a float of 22 million shares, only a speculator would step in and buy on Monday. How many traders are going to trade the conference with a 100% or 150% gain? How many traders are going to add shares on the conference, knowing that the shoe is finally going to hit the market soon (they hope)?

My biggest question about the Co is whether there's a large enough niche out there for a shoe with a transplant insole, or "bone." The marketing site is impressive and the shoe looks like art. The Co — and inadvertently, shareholders — went through pains and delays to find the right maker, which wound up being in Italy.

Again, a niche in the footwear industry, appealing like Crocs, but very different in terms of potential demographics and breadth. Crocs shoes cover the gamut. Skins is appealing to a certain category of shoe wearers.

There are also questions about the Co's insider selling. Director Stephen Hochberg sold 150,000 shares in eight transactions during Q2. His sale prices ranged from 80¢ to $1.34.

Still, there's something to be said for a Co that has a cultish following. I'm not bullish on SKNN.OB at $2.05, but I'll be watching closely on Monday.