Investment Essentials 1. Join hands with Central Plains Real Estate to launch a real estate finance cooperation strategy. The company has launched a strategic cooperation with Central Plains Real Estate, with Shanghai and Nanjing as the main pilot projects to carry out real estate finance business focusing on new home loans, second-hand business, and mortgage loans. This cooperation will enable home loan products to land in Shanghai, and consider entering other cities in the future as the business progresses steadily. High quality risk control system to ensure transaction safety. In the company's Internet financial system, emphasis is placed not only on efficiency, but also on risk control. The company will continue to develop financial products with controllable risks according to home purchase scenarios, optimize product structure, and deepen cooperation and stickiness, and is expected to achieve large-scale revenue by the middle of next year. The company is applying for an Internet small loan license, which can effectively solve the source and use of capital and play a good supporting role in the company's business. 2. The decoration O2O model is deepening, and the product is progressing steadily. Currently, products such as Renovation Bao are operating well. They have been deployed in the top 10 cities in the country, expanded through franchise, and have strong offsite replication capabilities, and are expected to be profitable next year. The decoration business has had a good synergy effect with Internet finance, and at the same time, it has gained more users by opening up new homes. The company will take the concept of being resource-driven, personalized hardcover as extension, strictly control the quality of partners and the high requirements of the supply chain, and enter the blue ocean market of finished decoration in the future. Based on the strategic layout of the company's “three major O2O+ Internet finance” and the scarcity of real estate O2O targets, we are optimistic about the company's long-term development and give it a “recommended” rating. It is estimated that the company's EPS for 2015-2017 will be 0.65/1/1.5, and the corresponding PE will be 70/45/30 times. Risk Tip 1. The transformation of the business has fallen short of expectations. 2. Policy risks in the real estate industry.