The volume and price of the product have risen sharply, and the performance is excellent. In the first half of this year, the company achieved a cumulative operating income of 4.422 billion yuan, an increase of 23.69% over the same period of the previous year; the operating cost for the current period was 4,097 billion yuan, an increase of 24.29% over the previous year; and realized net profit of 118 million yuan, an increase of 47.07% over the same period of the previous year. Judging from the disclosed semi-annual report data, benefiting from the recovery of the global non-ferrous metals market, the volume and price of the company's products has risen sharply. With the construction and commissioning of the silver upgrade project, silver production and sales have gradually increased. Scrap and other comprehensive recycling products have also increased accordingly. E-bank products achieved revenue of 275 million yuan, accounting for 62.20%, an increase of 37.10% over the previous year. Through continuous development of international markets and development of new customers, foreign sales achieved revenue of 460 million yuan, an increase of 581.89% over the previous year. Acquire Tibet Junlong Mining, expand upstream raw material reserves, and form collaboration with existing resources. The company acquired 100% of the shares of Tibet Junlong Mining Co., Ltd. on July 11. The target company, Junlong Mining, has high-quality lead-zinc mineral resources in the Lhasa region, and the mines and mining belts that extend within the existing mining area still have great prospecting potential, and the potential development value is high. Further extending the silver smelting industry chain upward to the exploration, mining and beneficiation business of upstream lead-zinc ore, and greatly increasing the reserves of lead-zinc mineral resources can mitigate the impact of fluctuations in upstream raw material prices on the company's smelting business. At the same time, Junlong Mining is closely located with Jinhe Mining, a holding subsidiary of the company, and belongs to the same mine. It is expected that it will leverage its advantages of scale and synergy, which is expected to enhance the company's resource advantages. The fund-raising project is progressing smoothly, and future performance increases can be expected. The “Baiyin Upgrading Technology Improvement Project” and the “50,000 tons/year Lead/Ice and Copper Slag Resource Comprehensive Utilization” projects invested by the company in the early stages have been completed and put into operation. The production process has been continuously improved and the production process has been improved through actions to save energy and reduce emissions and extend the industrial chain, providing stronger new impetus for the company's future development. The advanced processing project for silver series products, “China Yindu - Gold Silver City”, is expected to be completed and completed in 2017. It will enhance the company's advanced processing capacity and product added value, and expand the company's industrial chain. At the same time, during the reporting period, the company also invested in the construction of three major projects using raised capital. After the project is delivered, it will enhance the company's development momentum, scale efficiency, and comprehensive resource recycling efficiency. Future development advantages are obvious. Profit forecast. Company highlights: 1) Silver production is gradually increasing. Driven by favorable production expansion, it is expected to further become the company with the largest amount of silver in the world, and the global silver leader is ready to rise. 2) Continuously expand upstream in the industrial chain, acquire Tibet Junlong Mining, expand upstream raw material reserves, and form collaboration with existing resources. In the future, the linkage between the company's performance and the price of silver will continue to strengthen, and flexibility will increase dramatically. 3) Entering the field of silver jewelry downstream of the industrial chain to achieve the layout of the entire industry chain, and profit growth highlights are constantly emerging. 4) Introduce employee shareholding, demonstrating the company's confidence and fully mobilizing the enthusiasm and cohesion of core employees. We expect the company's EPS for 2017-2019 to be 0.59 yuan, 0.75 yuan, and 0.95 yuan, respectively. Referring to the same industry, Yintai Resources' 2017 PE forecast was 48.32 times. We gave the company 45 times PE in 2017, with a target price of 26.55 yuan to maintain the “buy” rating. Risk warning: The risk of falling precious metals prices; the progress of production expansion falls short of expectations.