Industrial real estate has become a safe haven for macro-control. In the context of the country's macro-control of the real estate industry, industrial real estate has used its unique business model to become a safe haven for macro-control, and listed companies whose main business is industrial real estate have shown their stability advantages during short-term fluctuations in the securities market and real estate sector. The restructuring brought about qualitative changes in the company. In 2006, the company implemented a major asset restructuring, and Xinmao Group invested 59.98% of the excellent equity assets of Tianjin Xinmao Science Park Co., Ltd. into the listed company. Listed companies have carried out large-scale integration of existing enterprises and assets, raised the level of profitability of the original enterprises and businesses, and greatly increased the profitability of the company. The company's development plan is clear. The company's business mainly includes industrial real estate development, high-tech industries and services. Among them, industrial real estate is the main business added after asset restructuring, mainly based on the development of science and technology parks, with the construction of industrial plants and incubators as the main body, and public construction as support; the high-tech industry has been engaged in the company for many years and has formed a stable development trend, with a large number of core technologies and a complete technical management team; through continuous development and expansion, the service industry has gradually achieved industrialization from the beginning of development and construction services for existing science and technology parks. Non-public offerings promote industrial restructuring. The company plans to issue 70 million shares privately, of which Xinmao Group, the largest shareholder, plans to subscribe for the shares issued this time with its shares in the Science Park Development Project Company. The capital raised is mainly invested in the development and construction of science parks and other related projects. After the capital raising project is completed, the company will be placed into the company's main business, so that the company can form a situation where industrial real estate and high-tech industries develop simultaneously and the industrial structure is more reasonable. Risk warning. The country's macro-control policy has changed; the impact of the investment progress of science and technology parks; and the overall development pattern of the service industry has changed. .. Profit prediction. We have broken down the company's three business segments. Without considering non-public offerings, the company conservatively estimates in 2007 that it can achieve revenue of 720 million yuan, earnings per share of 0.41 yuan. Optimistically, it is estimated that it can achieve revenue of about 900 million yuan, and earnings per share are expected to be around 0.5 yuan. Valuation. Based on comprehensive considerations such as the increase in the overall valuation level of the real estate sector and the development and profit model of the industrial real estate industry, we believe it is reasonable to give Xinmao Technology 50 times and 35 times PE in 2007 and 2008. Considering the continuous acceleration of the overall development of Tianjin, the region where the company is located, and the Tianjin Binhai New Area has been included in the country's “11th and 5th” key development areas, the company's current technology park development, high-tech industry, and service industry are all facing unprecedented development opportunities, and the company's prospects are worth looking forward to. Furthermore, since we expect the securities market and real estate sector to continue to strengthen, we believe that the company's target price for 2007 is 25 yuan, giving the company a “buy” investment rating.