Key investment points: asset restructuring, breaking the cocoon and becoming a butterfly. The company's original main business was NdFeB permanent magnet materials, automated logistics three-dimensional warehouses, and micromotors and speed reducers. Through a series of acquisitions and restructuring, the company emphasizes business collaboration. Through resource allocation, it has formed a product line of rare earth magnets, electric motor control, and intelligent logistics equipment. The company will focus on building a “control technology+motor” precision manufacturing industry platform, build a “component+equipment+engineering” industrial ecosystem through system integration, and vigorously develop business fields such as driving systems for new energy vehicles, electric wheelchairs for medical rehabilitation, fire robots, fire simulation training systems, and intelligent factory systems. Increase compaction magnetic materials to serve high-end equipment. Through the acquisition of Ganzhou Tongcheng, the injection of Ganzhou Dongji and Inlova import and export, and in addition to the original Yingluohua Magnetic Industry, the company will have a total NdFeB production capacity of 7,300 tons, be promoted to the second largest magnetic materials company in China, achieve complementarity in production capacity, technology, and market, enhance overall competitiveness, and provide strong support for the company's downstream business expansion. Some of the magnetic materials produced by the company will directly serve the company's new energy vehicle motors, various automation equipment, and intelligent engineering components. Integrated control technology and motors, extending to equipment. The company has always been engaged in research, development, production and sales of micromotors and speed reducer products, with an annual production capacity of more than 4 million units. The products it produces are at the absolute leading level in the industry at home and abroad, such as scooter motors, floor cleaning equipment motors, massage chair motors, and biomass food waste machines. The main products include AC motors, DC motors, synchronous motors, brushless motors, electric pushers, and stepper motors, etc. After the completion of the micromotor industrialization project, it will form a production capacity of 840,000 high-efficiency and energy-saving micromotors and 40,000 scooters per year, entering the field of medical rehabilitation; the development and industrialization of new energy vehicle drive systems can form a production capacity of 40,000 sets per year. Relying on the industrial accumulation of intelligent logistics equipment, we will vigorously develop engineering fields such as intelligent factory systems. The company is one of the largest domestic logistics equipment and technology integrators. It has the highest market share and industry coverage, and is unique in the research and manufacture of special storage types such as explosion-proof warehouses, low temperature cold storage, and dark storage. It is committed to building an automated three-dimensional warehouse system and manufacturing more advanced logistics equipment. Based on this, the company is committed to developing an intelligent factory system based on automatic transportation of in-factory logistics. Fire robots and fire training simulation projects have great potential. With policy support for fire robots and fire training simulation projects, there is huge room for development. Taking the opportunity to win the bid for the fireworks simulation facility procurement project at the Zhejiang Fire Brigade Training Base, the company will vigorously develop fire robots and fire training simulation projects based on the experience and advantages of intelligently controlling pyrotechnics equipment and combining the scene simulation capabilities of simulated fire protection systems to meet the needs of future intelligent fire fighting robot joint fire fighting exercises. Maintain a “buy” investment rating. Based on the progress of the company's project commissioning, we expect the company's EPS in 2015-2017 to be -0.19 yuan, 0.34 yuan, and 0.50 yuan respectively. Our target price is 16.92 yuan, corresponding to 50 times PE in 2016, maintaining the “buy” investment rating. And with certainty. Price fluctuation risk; policy risk; exchange rate risk; fund-raising project completion risk.