The main investment company is a regional passenger transport leader in Longyan and Nanping, and is also diversifying its development. Fujian Longzhou Transportation Co., Ltd. was established in 2003. The actual controller is the Longyan Municipal State-owned Assets Administration Commission, which is a state-owned enterprise. The company's passenger lines are in a leading position in the industry in the Longyan and Nanping regions. In addition to passenger transportation, it is also engaged in diversified businesses such as automobile and parts sales and service, freight transportation, and oil sales. In 2017, it entered the asphalt supply chain through major asset restructuring, greatly increasing the company's performance and opening up room for growth. Major asset restructuring has been introduced into the asphalt supply chain, and employee shareholding has been implemented, which will benefit from the construction of Xiong'an New Area. The company is a Fujian state-owned enterprise. When the bus company was restructured in the early years, the chairman and other executives already held company shares. In July 2016, the company announced plans to acquire 100% of Zhaohua Leading's shares, and implemented an employee shareholding plan in the acquisition plan. The acquisition was completed in March 2017. Zhaohua leads the provision of full asphalt supply chain services and is the largest asphalt supply chain company in the northern region. We believe that demand for asphalt is growing steadily. Zhaohua's leading asphalt container multimodal transport model has obvious advantages, professional team, and sufficient incentives. Currently, it is in a period of accelerated development and has broad growth prospects. The company is registered in Tianjin, and its base in Tianjin radiates Beijing-Tianjin-Hebei. The construction of Xiong'an New Area is expected to greatly boost regional asphalt demand and bring new opportunities to the company. The main passenger transport industry has been affected by diversion, and the company continues to experiment in various ways in the industrial chain. The company's main passenger transport business is centered on Longyan and Nanping, but there is downward pressure due to the successive opening of high-speed rail and intercity railways in Fujian Province and the growth of private car travel. In recent years, the company has continued to conduct various experiments in the industrial chain. Prior to this acquisition of Zhaohua Leading, the company promoted the company's development in the fields of logistics, new energy vehicles, oil and gas through investment cooperation, mergers and acquisitions, etc. Profit forecasting and valuation. The company's EPS in 17-19 is expected to be 0.52, 0.61, and 0.72 yuan, and the corresponding PE is 24.5, 20.8, and 17.7 times. As a state-owned enterprise in the traditional industry, the company has been actively reforming and developing. In recent years, the company has continued to conduct various experiments in the industrial chain, accumulated rich experience, completed the acquisition of Zhaohua Leading in 2017, entered the asphalt supply chain field, and implemented employee shareholding. We are optimistic about the company's development momentum after implementing the employee stock ownership plan, as well as Zhaohua's leading development prospects, giving the company an “increase in holdings” rating. Risk warning. Asphalt prices fluctuated sharply, Zhaohua led the development of low expectations, and the passenger transport business declined sharply