Summary of the report:

Cut into the smart city with traditional business and share the 4 trillion market. Relying on its own experience and technology in the field of video communications and government resources accumulated over the years, the company vigorously promotes the construction of a smart city. In the future, as business sinks to the district and county level, orders are expected to increase. The company's smart city business model will change from undertaking BT projects to operating. The transformation of the model has not only brought about a change in the profit model, but also brought data ports for big data's business. IDC has outstanding business advantages, focusing on building a smart city cloud platform center. Ordos IDC project + Jiangxi Sky Star + Hongchang Communication + perfect optical fiber network, the company's IDC business has outstanding advantages in operating costs, regional layout, network resources and upper technology. IDC's current customers are mainly central ministries and ministries, and form a central-to-local government data portal with Smart City. Through IDC as the basis for building a smart city cloud platform, the government big data has gradually formed a closed loop, and there is a lot of room for future performance growth. The technical barrier of laser display is high, and large-scale industrialization is imminent. As the initiator of the visual revolution, the company is the only three manufacturers in the world that can produce high-brightness laser projection products. China Vision Dewey, a subsidiary, relies on the technical background of the Optoelectronic Research Institute of the Chinese Academy of Sciences. in the field of laser display product research and development, product certification, industrialization capacity building, industrial chain strategic integration, market layout and other aspects have been in the global leading level. In the future, the laser display market is in the period of rapid introduction of products in both the film market and the engineering projection market. The company's products will face explosive growth in the next few years, and the future market potential is huge.

Cover for the first time, giving a "highly recommended" rating. It is estimated that the EPS of the company from 15 to 17 years is 0.05,0.44 and 0.78 yuan respectively, corresponding to the current stock price PE of 294.6, 32.4 and 18.27. The company has great room for growth in IDC business, laser display business is globally competitive, and the future market space is huge. We are very optimistic about the future growth potential of the company. The market capitalization is expected to reach 15 billion in the next 6 months, and the target price in 6 months is 50 yuan. Give the company a "highly recommended" rating.