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Tickers in this Article: HIMX
I was one of the lucky few to be chosen by Google (Nasdaq: GOOG) to be a beta tester for the revolutionary Google Glass product.

Glass is a wearable computer screen that sits on the user's face like a pair of glasses. Glass can be worn while other tasks are being completed, and all the user needs to do is glance upward to see the data on the screen.

The beta testers are called Glass Explorers and use the product in everyday life while reporting likes and dislikes to Google. This is so the company can tweak the system prior to it actually going on the market, supposedly in early 2014. 

After posting about my Google Glass Explorer invite on social media, I was inundated with offers to buy it. I could not believe how much money some folks were willing to pay just to obtain the invitation to purchase Glass and participate in Google's program. I reasoned that I could purchase several pairs of Glass once it went on the market for the offers I was receiving. Therefore, I made the decision to trade the invite for a decent sum of cash and wait for the actual public launch to purchase mine. 

With this said, the hype and public demand for such a product led me to look behind the scenes at who actually makes the components. I believe Glass and other similar products will be a huge commercial success once the kinks are worked out and they hit the market.

This research led me to a Taiwan-based company, Himax Technologies (Nasdaq: HIMX). I think this stock will make a great short term investment right now.

  
 Flickr/Jeff Blackler 
 HIMX designs, develops and markets semiconductors for flat-panel displays like the one found in Google Glass. 
HIMX designs, develops and markets semiconductors for flat-panel displays like the one found in Google Glass. In July, it was announced that Google was investing in Himax's subsidiary, Himax Display, and the tech giant is now a 6.3% shareholder.

Currently, Himax Display can produce 200,000 panels a month, and the company expects to be able to increase production to 2 million panels a month in 2014 as demand increases. In addition to Google, the subsidiary is also working with a number of other partners to create multiple applications.

The company produced solid third-quarter results with a 1.3% year-over-year revenue increase to $192.8 million, a 15% increase in small and midsize panel driver sales, and a 30% increase in non-driver sales. In addition, net income climbed nearly 18% to $12.3 million from the same time a year ago. 

It's not just the Google deal that has me excited about this company. HIMX is also a leading supplier of semiconductors for small and midsize flat-panel displays, which are used in smartphones, tablets and a variety of other devices. As these devices continue to grow in popularity, demand for Himax's products should remain high.

Another sign of the company's strength is the $25 million share buyback program Himax instituted this year. But perhaps most telling is the fact that the company has a 2.3% forward annual dividend yield, a rarity among high-tech firms.

HIMX has rocketed over 400% this year, and the average daily volume is close to 9 million shares. I expect to see shares hit $17 within the next 90 days.



Action to Take -->
-- Buy HIMX between $11.50 and $12.50
-- Set stop-loss at $9.93
-- Set initial price target at $17 for a potential gain of 36% to 48% in three months


This article originally appeared on ProfitableTrading.com: 
Google Invested in This Under-the-Radar 400% Gainer (So Should You)

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