Guy 2: "hey, she isn't that bad. In fact, I think she's pretty hot.She's kinda shmexy, yano?"
Guy 1: "now you mention it, she is....in a shmexy kind of way...."
Note: Back in 5th grade, me and my friend alexis made this word up, and therefore have the right to make it mean cool.
Note: in some cases it can mean sexy, but only as a joke, like when talking about an ugly person: "Wow, he's super shmexy". but it is never a synonym for the actual word sexy, since it does not mean hot, or hott, or 'bangin', or anything else like that