Why is Aarti Pharma falling/rising?

As of 14-Nov, Aarti Pharmalabs Ltd is experiencing a decline in its stock price, currently at Rs 713.00, which reflects a decrease of Rs 33.65 or 4.51%. The stock has underperformed its sector by 4.88% today and has been on a downward trend for the last three days, accumulating a total loss of 7.41% during this period. Additionally, the stock is trading below its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages, indicating a bearish sentiment. The company's recent financial performance has raised concerns, with a significant drop in net sales by 14% and a 58.1% decrease in profit after tax compared to previous quarters. Furthermore, the promoters have reduced their stake in the company, which may signal a lack of confidence in its future prospects.
In the broader market context, Aarti Pharmalabs' short-term performance has been notably poor, with a 1-week return of -17.48%, contrasting sharply with the Sensex, which has gained 1.62% over the same period. This underperformance highlights the stock's struggles relative to the overall market. While the company has a low debt-to-EBITDA ratio and an attractive valuation compared to peers, these positive factors are overshadowed by the negative trends in sales and profitability, as well as declining investor participation. The combination of these stock-specific issues and the broader market dynamics contributes to the stock's current downward trajectory.