Why is Aarti Pharma falling/rising?

As of 17-Jul, Aarti Pharmalabs Ltd is experiencing a decline in its stock price, currently at Rs. 957.40, which reflects a decrease of Rs. 6.9 or 0.72%. Despite this drop, the stock has shown strong performance over the past week, gaining 4.93%, and has outperformed the benchmark Sensex, which fell by 1.12%. The stock recently hit a new 52-week high of Rs. 971.5, but it has underperformed its sector by 1.14% today. The stock has been trading above its moving averages, indicating a generally positive trend, although it has seen a reversal after five consecutive days of gains. Additionally, the company has a low Debt to EBITDA ratio of 0.63 times, strong recent financial results, and a favorable valuation compared to peers, which supports its attractiveness to investors.
In the broader market context, Aarti Pharmalabs has significantly outperformed the market over the past year, generating a return of 56.16% compared to the BSE500's 0.26%. However, there are concerns regarding the stock's long-term growth potential, as net sales have only grown at an annual rate of 4.27% over the last five years. Furthermore, there has been a decrease in institutional investor participation, with a 4.11% reduction in their stake, which may signal caution among more sophisticated investors. This combination of strong short-term performance and potential long-term risks may contribute to the current price movement.