A combination of shit
with a Teutonic twist. Pronunciation is similar to shite. Usage in this way does not imply that the subject is more shit, it in fact implies the inverse, it is made for all of the lighter uses of the above linked words.
Mang, Skid Row's first album is some good sheit.
I'll send you this sheit in the mail.
Wow, He-Man, I haven't seen this sheit in years.