Report summary: Relying on its long-term accumulated customer base, technical and service capabilities, and market share of core products, Yinzhijie is in a leading position in the industry. Through external mergers and acquisitions, its main business expanded into three fields: financial informatization, mobile business services, and e-commerce. At the same time, the company actively participated in high-quality financial institutions to build a more complete mutual fund ecosystem. The company's operating income for the first three quarters of 2016 was 648 million yuan, up 61.32% year on year, and net profit was 503.679 million yuan, up 22.96% year on year. The main reason for the rapid increase in performance is the sharp increase in the sales performance of intelligent printing machines, as well as the considerable profits contributed by the mobile business services and e-commerce fields. Yimei Softcom joined hands with FICO to strengthen data terminal capabilities and help various businesses develop collaboratively. The “Big Data +” service was launched in 2015 to provide financial institutions with data analysis and big data risk control; build the WeChat 020 micro-marketing platform, which relies on the consumer portraits of 700 million customers to help enterprise customers achieve accurate marketing and other related businesses; it was once an enterprise owned by Experian Holdings, one of the top three credit reporting companies in the US, with rich and unique experience in processing credit information, providing strong technical support and data-side advantages for Huadao Credit Reporting. The company has a leading edge in business licenses such as Internet insurance and credit reporting. The E-On Insurance license has been implemented, and it is one of only four Internet insurance business licenses; Huadao Credit Information was included by the central bank as one of the first eight credit reporting companies to carry out personal credit reporting business preparations. The company continues to improve and build an Internet finance ecosystem. Following Huadao Credit Reporting and Yi An Financial Insurance, it also participated in the establishment of Joint Stock Exchange, East Asia Qianhai Securities, Shanghai Insurance Exchange, and Anke Life Insurance, with the goal of obtaining full licenses to establish a closed loop of banking, insurance, and securities ecosystems. Investment strategy: I am optimistic about the company's good trend of achieving collaborative development between various business sectors to drive performance growth based on data terminal advantages, and the steady progress of the company's strategy to actively lay out new Internet finance business fields and build a comprehensive financial ecosystem service system. The estimated operating income of the company in 16-18 was 1,029, 15.17 and 2,099 billion yuan; net profit was 1.26, 1.84 and 246 million yuan respectively; EPS was 0.18, 0.27 and 0.36 yuan, respectively; and PE was 132.66, 90.92 and 67.82 times, respectively. Considering the valuation level of comparable companies in the same industry and the high growth of the new mutual fund business, we believe that the company has a reasonable market value of 21-23 billion yuan and a six-month target price of 32.4 yuan, maintaining a “highly recommended” rating. Risk warning: The policy environment falls short of expectations; license implementation falls short of expectations; and new business development falls short of expectations.