Guide to this report: The company is currently the most influential leather specialty market in China, with a mature business model and a complete industrial chain. The company actively integrates upstream and downstream of the industrial value chain, improves the business layout, and anchors the second main business, which is expected to bring in new volume. Key investment points: Investment suggestions: The company is currently the most influential leather specialty market in China. The business model is mature and the industrial chain is complete. The company actively integrates upstream and downstream of the industrial value chain, improves the business layout, anchors the second main business, enhances corporate design strength, and also lays out a large medical industry. New businesses are expected to bring in new volume. The company's EPS is expected to be 0.29/0.29/0.30 yuan in 19-21, respectively. Combined with comparable company valuations, considering the decline in the company's growth rate, 16 times PE was conservatively given in 19 years, corresponding to a target price of 4.64 yuan. Covered for the first time, giving a “careful increase in wealth” rating. Established more than 20 years ago, it is a leading enterprise in the leather market. Haining Leather City was founded in 1994. Currently, in addition to the headquarters market, it also operates a number of offsite markets. It is the only national chain of leather specialty markets in the industry. It has gradually become a leader in the leather specialty market, and its position is stable in the industry. Integrate upstream and downstream of the industrial value chain and optimize industry resources. The company is the only leather specialty market in the world that provides services for the entire industry chain. The market function extends from wholesale and single leather clothing sales to the fields of fabric accessories supply, fashion venture park, factory leasing, design and development, fashion publishing, fashion wholesale, headquarters business, foreign trade, e-commerce, etc., providing merchants with one-stop full-industry chain services in the production, marketing and trading of leather products, actively expanding business boundaries and entering the fashion and health industry. The company focuses on the business strategy of “consolidating and upgrading the main leather industry, superposition the fashion industry, and steadily promoting the health industry”. In addition to the leather industry, the company continues to promote innovative business construction such as financial services, Haining leather fashion town projects, health industry projects, and fashion industry bases to expand the breadth and depth of the company's industry. Risk warning: declining prosperity in the leather products industry, risk of innovative business development policies