Changewave Investing, with its well-known editor Toby Smith, is recommending Cree (NASDAQ: CREE) as a play on "the secular shift to solid-state lighting" which he considers an emerging "green" trend.

He explains, "This sector -- a promising play on clean energy -- is growing by leaps and bounds, and we don't want to hold off any longer on buying LED solid-state lighting component manufacturer Cree."

Toby Smithe notes that the transformation from commodity LEDs for cell phones to broader market opportunities has gone slower than expected for the company. However, he adds, "With a key new acquisition and mandates around the world for the elimination of incandescent bulbs, I believe the time is right to buy shares."

He notes, "Our thesis about the transformation of lighting from 90% inefficient incandescent bulbs to 80% efficient solid-state is playing out exactly as we forecast -- and there is no turning back."

Once consumers see the difference in durability (50,000 hours versus 1,000) and the quality of light for LEDs vs. compact fluorescent bulbs (night and day, he states that he expect light bulbs to "go the way of the dodo bird."