Pocket watches are a nifty thing to collect. I'd love to find a nice silver pre-1900, key-wind pocket watch, but between the price of getting one I have reason to believe isn't broken and the cost of then having it overhauled, I think it would be above what I spent on my most expensive pipe by far, a mid-tier Sadik Yanik meerschaum (a bit over $800, which required saving for a while). Saw some on the 'Bay, but though the seller claims tested and working, it's still a crapshoot. (I originally wanted a fusee watch, but I think between the risk of breaking the chain while winding and the difficulty of overhaul, I'd best not).
Back to your pipe. The shank is just cherrywood (old catalogs often mentioned "weischel wood," which is just a German cherry). The bark is left on because cherry splits easily; the bowl of a 1970s French Ropp cherrywood I bought as a kid that just sat on my shelf for display split years ago by itself. I'd bet the mouthpiece is just plastic, it and the stem added later to replace the original, and probably had a round, flared tip. The original would probably have been cherry w/ bark but all the way up, with a bent horn or maybe amber mouthpiece.
All the scratches and dents on the meerschaum and silver are just character. They show how much someone(s) loved it, but also that they treated it like a utilitarian object sometimes. Definitely polish the silver, and masybe wax the meerschaum lightly and gently go over it with a soft buffing wheel. Or, yes, sell it, and another collector will love it. You could probably get takers on here.
