Guide to this report: The company plans to implement the second phase of the employee stock ownership plan of no more than 190 million yuan. We believe that the employee stock ownership plan shows the company's confidence in future development, and that the extension of the company's product application areas will accelerate the release of main business performance. Maintain an increase in holdings rating. Investment highlights: Event: The company announced that it plans to implement an employee stock ownership plan, with a total limit of 190 million yuan, accounting for about 2.46% of the company's share capital according to the March 22 stock price, and will last for 2 years. Employee shareholding shows confidence and maintains an increase in holdings rating. After implementing the employee stock ownership plan in 2016 (the first phase accounts for 0.97% of the company's current total share capital, cost price is about 6.5 yuan), the company once again implemented employee shareholding. Among them, management participated in 58.68% of the subscription, and core employees participated in 41.32% of the subscription, demonstrating its confidence in the future development of the company. With the increase in the production rate of the company's new production line and the expansion of product application boundaries, the 2017-2018 EPS forecast of 0.23/ 0.49 yuan was maintained, and the target price was maintained at 15 yuan, corresponding to 30x PE in 2018. Product application epitaxial acceleration. The company has recently announced that it has begun to implement Valeo's orders and has passed the classification society's aluminum alloy ship plate certification matters, indicating that the company's aluminum alloy rolling production capacity is maturing, and the application of plates is expanding at an accelerated pace. We believe that production capacity for wide-range polymetallic rolling has high barriers. Future downstream applications are expected to expand dramatically in the fields of thick aluminum sheets for protective materials and civil transportation. Increased product yield and border extension will greatly increase the company's performance, accelerate expansion in the field of deep processing, and future development is worth looking forward to. We believe that the company's accelerated deployment of military personnel and development of the civilian market are expected to accelerate, and orders are expected to continue to be released. The company is the only supplier of wide-width aluminum rolled composites in China, and product applications are expected to expand further. In the future, the company and Feierkang's shareholding products are expected to rely on Yinbang's defense outreach. The majority shareholders participate in the establishment of M&A funds, and extension development can be expected. Catalysts: Product application expansion and order release.