It’s been a week since Google, Inc. (NASDAQ: GOOG) co-founder Sergey Brin announced that the company was moving up the timeline for Google Glass and investors have just recently begun to see the potential growth this announcement could have for Himex Technologies, Inc. (NASDAQ: HIMX), a company that designs, develops, and markets semiconductors for flat panel displays, offering display drivers for thin film transistor liquid crystal display (TFT-LCD) panels, which are used in desktop monitors, notebook computers, televisions, and mobile handsets applications, as well as consumer electronics products, such as tablet PCs, net book computers, digital cameras, mobile gaming devices, portable DVD players, digital photo frame, and car navigation displays.
The announcement from Brin came on February 27, 2013 but even on the following day shares of HIMX were trading at a low of 3.00. It wasn’t until Friday that things began to pick up for HIMX, hitting a high of 3.50 but on Monday they sank back down to a low of 3.30.
For those who managed to build a strong position at that point the past few days have been nothing but a joy as HIMX has only climbed higher, hitting a new 52-week high of 4.95 on Thursday and while they are currently holding around the 4.29 mark that’s still well ahead of their 50-day moving average of 2.98 as well as their 200-day moving average of 2.18.
Where HIMX benefits from the Google announcement is in the belief that the company will be the primary provider of microdisplays, these are the main component in enabling users to view computer generated data on their reality glasses.
While there has been no official word from HIMX that they will be the provider of microdisplays for Google Glass the company has led investors in that direction with some not-so-cryptic language in which they attributed recent growth to their “pilot shipments of LCOS microdisplays for the new and exciting head-mounted display application.”
The fact that HIMX ramped up their shipment in the fourth quarter and now Google is pushing their timeline up for Google Glass has only strengthened the belief that the two companies will be working closely on the development of this project.
It should also be noted that HIMX’s technology isn’t exclusively dependent upon Google as their products can be implemented in a wide range of applications that currently exist and new applications that will no doubt hit the market in the near future. Currently HIMX’s technology can be found in products created by Apple, Samsung, LG and Dell.
Obviously there are still some things that aren’t known just yet, namely how well received Google Glass will be, but the answer to that question should be realized soon enough as it is expected to be available for the upcoming holiday season. If things hit right then HIMX could be poised for gains that dwarf what they’ve seen over the past few days.