the company will bring new profit growth point.

Ganzhou tungsten carbide rods through the provincial identification
Recently, commissioned by the Jiangxi Provincial Committee of Industry, Ganzhou Economic and Trade Commission experts on the Ganzhou and Switzerland Material Technology Co., Ltd. produces tungsten carbide rods for a new product identification. The product is ultra-fine particles carbide rods, to "Jiangxi Province in 2009 new product trial project confirmation" of the assessment indicators, product quality has reached advanced level in the domestic industry. With good economic and social benefits, the experts agreed that passed the provincial appraisal.Growth: tungsten industry will be the main source of profit growth in recent years - through the company's three main business analysis, we believe that: Molybdenum crucible prices of related products uncertainties; precious resource expansion is opportunity-oriented, deterministic unknown; only promising tungsten prices , and the company intends to raise production of tungsten industry chain can be huge, with nearly 33 more than two billion tungsten deep processing projects put into operation, the company will bring new profit growth point.

Valuation and investment advice: issue price below fair value, profit space - from the relative valuation, AH premium valuation multiples of two angle value analysis of the company: Company A shares for the shares of gold molybdenum comparable enterprises in Xiamen tungsten, tungsten chapter, in accordance with the PB valuation of 13.73 yuan, 12.66 yuan valuation in accordance with PE. AH share premium of the Company in accordance with the situation reasonably priced company projections of 4.22 million. Considering the difference in valuation of AH shares and A shares of small metal and base metal valuation differences, we conservatively estimate the company a reasonable price of 6.58 yuan.