Investment advice: the main features of the company are: 1) Ningbo brand developers. The company has developed a total construction area of nearly 1 million square meters, and a total sales area of nearly 900000 square meters. As of October 2012, the company's total project reserve was 1.085 million square meters, of which 53% were distributed in Ningbo, the remaining 24% in Changshu, 14% in Taizhou and 9% in Hangzhou. 2) the precipitation value of land is high. Most of the company's current project reserve time is in 2009 and 2010, and the average land price is 5307 yuan per square meter. The above projects are mainly concentrated in Yinzhou District, where the price increase is obvious in Ningbo. At present, the average settlement price of the project is about 17300 yuan per square meter. Considering the land price cost of the project, it will have better profitability in the future. 3) the product is better than the big market and has strong appeal. Although there is inventory pressure in the area where the company is located, the company still outperforms the market in sales. Since the end of last year, the average removal rate of Ningbo Ronghe Mansion, Ronghe Mansion, Rongan Die Garden and Hangzhou Wangjiangnan projects has been more than 85%. We expect the company's EPS to be 0.45,0.52 and 0.65 yuan in 2012, 2013 and 2014. According to the company's closing price of 7.27 yuan on November 1st, it corresponds to 16.16 times PE in 2012 and 13.98 times PE in 2013. The company's real estate business RNAV at 4.04 yuan, the current share price is significantly higher than RNAV premium. We believe that the company's stock price is overvalued relative to the real estate business, and the premium mainly includes expectations for the development of the company's diversified business in the future. Give the company a "neutral" rating for the first time. Give the company a price-to-earnings ratio of 17 times 2012, corresponding to the target price of 7.65 yuan.