Guide to this report: The subsidiary Betray is the world's largest supplier of lithium battery anodes. Along with the promotion of new energy vehicles, revenue and profits continue to grow, and the pharmaceutical industry and real estate are also on a healthy development channel, and the overall situation is good. Key investment points: First coverage, with a target price of 5.4 yuan, and a “prudent increase” rating. The company has reviewed the current situation and actively adjusted its development strategy. It has now formed an industrial pattern dominated by high-tech industries, supported by biomedicine and real estate development. It predicts that the company's net profit for 2019-2021 will be 2.37, 3.4, and 450 million yuan, corresponding to EPS of 0.09, 0.13, and 0.17 yuan. For the first time, coverage was given. The target price was 5.4 yuan, giving it a “cautious increase” rating. The company focuses on the high-tech industry and maintains a rapid growth trend overall. In 2018, the company achieved sales revenue of 5.884 billion yuan in the high-tech sector, a year-on-year increase of 39.23%; achieved a total profit of 536 million yuan, an increase of 52.92% year-on-year, and a compound annual growth rate of 41.46% in revenue scale over the past five years. Among them, Betray's revenue has doubled in the past 3 years, from 2.1 billion yuan in 2016 to 4 billion yuan in 2018, making it the world's largest anode shipment volume. Betray has accumulated a strong presence in next-generation silicon-carbon anode technology and is expanding the new high-nickel cathode business. These two businesses are expected to become the company's new growth engines. The traditional sector is deeply cultivated and growing steadily. The company's main business in the biomedical industry maintained a steady growth trend in 2018, achieving sales revenue of 2,481 billion yuan, an increase of 31.29%. Among them, Ma Yinglong, controlled by the company, achieved operating income of 2,198 billion yuan in 2018, an increase of 25.53% over the previous year; the company's real estate sector achieved sales revenue of 3,033 billion yuan, an increase of 416.85% over the previous year. Catalysts: Large-scale application of the company's silicon-carbon anodes and high-nickel cathodes Risk warning: New energy vehicle sales fall short of expectations, and the price of anode products is falling rapidly