Analog and mixed-signal semiconductor device maker Skyworks Solutions (NASDAQ: SWKS) has enjoyed a huge run over the past 52 weeks, up more than 130% and trading at levels not seen in over a decade.

The company makes high-tech microchips used in mobile devices, wireless networks and the automotive market. Its mixed-signal devices convert and boost radio frequency signals in smartphones, making the user experience much more powerful.

Given the huge growth in the mobile device and networking space over the past several years, there’s been heavy demand for Skyworks Solutions’ radio frequency microchips. This demand has analysts projecting double-digit sales and EPS growth for the foreseeable future.

#-ad_banner-#On average, analysts expect the company to grow earnings about 20% a year for the next five years.

Skyworks Solutions is set to report fiscal fourth-quarter earnings after the closing bell on Thursday, Nov. 6. Expectations are high due in large part to an upwardly revised guidance the company offered Wall Street in mid-October. 

Management boosted its Q4 revenue outlook to $718 million, which represents a 51% year-over-year increase. It also lifted its earnings-per-share projections to $1.08, which translates to a 69% increase from the year-ago quarter. This was up from previous guidance for a $1 profit on $680 million in revenue.

Yet perhaps the biggest reason for the high expectations is due to a little device called the iPhone 6.

You see, the radio-frequency chips used to power the uber-popular iPhone 6 models, as well as other Apple (NASDAQ: AAPL) products, are made by Skyworks Solutions. The incredibly successful launch and record sales of the iPhone 6 were way beyond what most industry pundits predicted, and that means even greater sales for component makers like Skyworks. 

Turning to the chart, we see a nearly uninterrupted move higher in the shares from November 2013 through the end of September. Then, as the market corrected in early October, the widespread selling brought SWKS down with it. 

The company’s higher Q4 guidance, released on Oct. 15, seemed to give buyers the confidence to get back into this technology winner.

If Skyworks Solutions can come in Thursday with revenue and earnings that meet or exceed the revised guidance, then I expect shares to continue their run to new highs.
 
So, if you are looking for a high-tech momentum play with an Apple-sized tailwind at its back, then buy SWKS before Thursday’s earnings release.

Recommended Trade Setup: 

— Buy SWKS at the market price
— Set stop-loss 8% below entry price
— Set initial price target at $72.40 for a potential 20% gain in three months

Note: Over the past year, one little-known indicator spotted 29 stocks right before they jumped double digits in a month. Now, it’s tagged another stock as an immediate “buy.” In fact, it’s flashing the same kind of buy signal as a stock that rose 266% in a year. Get its name here, including all the details on this indicator.

This article originally appeared on ProfitableTrading.com: Why I’d Go Long This 130% Gainer Today