This report is read as follows:

The company is the leader of the educational recording and broadcasting track, and has a strategic stake in Huasheng's layout of vocational education, which is expected to be full of special discount loan policy, and the performance of practical training orders in colleges and universities is flexible.

Main points of investment:

For the first time, it will be given an "overweight" rating. It is estimated that the return net profit of the company from 2022 to 2024 is RMB 1.51, 225 and 0.40 million respectively, and the EPS is 0.34, 0.51 and 0.55 respectively. With reference to the valuation of comparable companies and the use of PE valuation method, considering that the company is deeply engaged in educational informationization and is expected to fully benefit from the special discount policy, it is given a valuation of 25 times PE in 2023, with a target price of 12.75 yuan, covering for the first time and a rating of "overweight".

The policy is frequently borrowed from the east wind to accelerate the release of the demand for educational informatization. Recently, special discount loans have been launched, and the field of education has clearly focused on supporting the purchase of major equipment and supporting facilities in colleges and universities, such as teaching and scientific research, experimental training, and so on, which is expected to accelerate the release of the demand for educational informatization in the short term; in the long run, the policy Dongfeng supports and guides educational informatization to gradually enter the 3.0 era, and the ecological growth space of intelligent education is worth looking forward to.

The acquisition of Ovia recording and broadcasting access to create a fully connected intelligent teaching service provider. The company wholly-owned acquisition of Ovia education recording and broadcasting, successfully transformed education informatization to focus on the main business, relying on the core advantages of "cloud + end + application + service", to provide systematic solutions for the information construction of basic education, higher education and vocational education, and to create fully connected intelligent teaching service providers. At the same time, the field of application extends from schools to party schools, organs, justice, public security, the army and so on.

Strategic investment in Huasheng Jingshi layout of vocational education, college training order flexibility can be expected. The company's strategy to buy shares in Huasheng Jingshi layout of vocational education, to achieve the coordinated development of the existing education information business and vocational education, the beneficiary policy Dongfeng university training demand is expected to be centralized release, performance flexibility is expected.

Risk tips: the landing of orders is not as expected, brain drain, intensified market competition, and so on.