Phoenix Footwear Group (PXG) was getting pummeled all year just like its fellow retailers. I happened to come across the company just weeks ago and wrote about them in Phoenix Footwear (PXG): Potential in a Struggling Retail Holding Company .I liked the potential for a turn-around and expected that they would sell a brand to get some cash. Heck, they even alluded to it I thought in the 3rd quarter conference call. The Heartland Value analyst must have been really excited, spending maybe 10 minutes or more asking great questions. Now the stock has risen 108% since just before the holidays.

They just sold their Altama military footwear division to Tactical Holdings, Inc. for approximately $15 million to pay down debt. They bought it in 2004 for $35.3 million. Not to great. Actually I still think the company is struggling. It should even be a good Tim Sykes short play this afternoon or after hours. This stock has to cool off soon! Doesn't it? For the long term I can't say right now If it is a good buy as I haven't crunched a fair value yet. There should be a lot of long-term value popping up in these retailers as even the best ones get beaten down.



full disclosure: no position in Phoenix Footwear Group (PXG)