I'm not convinced that Skullcandy represents a true value at these prices. While things look great now, competition is on the rise as well. Beats Audio, for example, is partnered with Hewlett Packard(NYSE: HPQ) and make formidable competition. As competition increases, I expect Skullcandy's returns to diminish. Even if returns don't go to die as the 70% short float implies, I don't see a lot of upside.