Subscription recommendations: The average compound annual growth rates of the company's operating income and net profit in 2012-14 are expected to be 13.97% and 23.74%, respectively, and the estimated earnings per share for 2012-2014 are 0.29 yuan, 0.39 yuan, and 0.45 yuan, respectively. Referring to the valuation level of the industry in which it is located, it is reasonable to give the company a dynamic valuation of 15-20 times in 2012, with a reasonable stock price of 4.35 to 5.80 yuan. The main basis: Molybdenum industry leader whose industrial chain is gradually improving. In the early days, the company was a molybdenum metal smelting and processing enterprise. With years of development, it gradually had integrated production capacity for roasting, smelting, molybdenum chemicals, and molybdenum metal deep processing, and also had mining rights and exploration rights for a number of copper and molybdenum polymetallic ores. Among them, the reserves of molybdenum metal resources in Shuangshan Molybdenum, Copper and Copper Polymetallic Mine in Antu County reached 38,998 tons and 2,210 tons of copper metal. The company currently has a molybdenum iron smelting capacity of 152,000 tons/year, roasting molybdenum concentrate production capacity of 303,000 tons/year, ammonium molybdate processing capacity of 3,000 tons/year, high-purity molybdenum oxide processing capacity of 500 tons/year, and molybdenum metal products deep processing capacity of 500 tons/year. The production capacity of ferromolybdenum is second in the country after Luo Molybdenum Co., Ltd. With the construction of fund-raising projects, the company's business will continue to expand to both ends of the industrial chain. After the fund-raising project is completed, the company's molybdenum concentrate self-sufficiency rate will increase to 13%, and it will have a high-end molybdenum metal deep processing production capacity of 500 tons/year, and the industrial chain will be further improved. Using trade as an auxiliary business, it has unique economical technology advantages. The company not only has its own business, but also engages in domestic trade and transit trade. Domestic and re-export trade is a necessary complement to the company's “market-based production” model, and the company can switch flexibly between reducing raw material costs and increasing profits according to changes in domestic and foreign price comparisons of roasted concentrates. Furthermore, the company has developed advanced technological advantages in terms of production processes, and built the first fully automated molybdenum iron smelting production line in China. It is one of the earliest domestic enterprises to use rotary kilns to produce roasted molybdenum concentrate, forming an economical production model with low raw material requirements, stable product quality, and high thermal energy utilization. The restructuring of the steel industry and emerging application areas are driving rapid growth in demand for molybdenum metal. Because of its characteristics, molybdenum is mainly used in fields such as steel, chemicals, machinery manufacturing, and metal processing. The steel industry accounts for more than 70% of the demand for molybdenum products, while in the steel industry, special steel is the main application field of molybdenum. There are obvious structural disadvantages in China's steel industry. Special steel accounts for only about 6% of domestic crude steel production, far below the 15% to 20% share of developed economies, and high-end special steel products only account for 7%, which is 18 percentage points lower than Japan's. As the proportion of special steel increases and the high-end of special steel products is the only path for China's industrial transformation and upgrading, domestic demand for molybdenum will maintain a high growth rate of more than 10% as special steel production increases. In addition, molybdenum metal is manufactured in high-end manufacturing, LCD displays, and thin-film batteries