Abstract: The company is an important listing platform under Shanghai Yidian Group. Shanghai Yidian Group has successively completed the asset integration of its two listing platforms, Feilo Audio and Yunsai Zhilian. In 2016, the group plans to inject securities business into the company and divest the company's existing real estate development business. The corporate restructuring plan will be completed through asset exchange, the issuance of shares to purchase assets, and the raising of supporting capital. After the restructuring is completed, the company will transform into a business model centered on securities business and supported by property management. Asset injection Huaxin Securities is a national comprehensive brokerage firm. Its business scope covers all traditional types, is limited by the size of net capital, and has limited development in terms of innovative business. The supporting capital raised by the company in this transaction is mainly used to develop innovative business and expand the scale of investment. The 800 million yuan raised will be used to carry out business such as financing and securities lending and stock pledge repurchases. Huaxin Securities will expand the scale of credit trading business. After Huaxin Securities is injected into listed companies, related innovative businesses will also break net capital restrictions and achieve faster development. Valuation and profit forecast: The valuation value of ChinaXin Securities in the trading plan is 5.355 billion yuan (the evaluation reference date is August 31, 2016). The PE level corresponding to 2015 is 10.60 times, and the corresponding PB level is 1.67 times, far below the industry average valuation level. The injection of undervaluation has also laid the foundation for future valuation increases of the company. Until this transaction is completed, we will not adjust our profit forecast. It is estimated that the company's EPS for 2016-2018 will be 0.27 yuan, 0.31 yuan and 0.37 yuan respectively, covering the first time, and giving it a “buy” rating. Risk warning: 1) risk of unsuccessful corporate restructuring; 2) risk of related policy changes.