Why is Aavas Financiers falling/rising?

As of 29-Aug, Aavas Financiers Ltd. is experiencing a decline in its stock price, currently at 1,520.35, reflecting a decrease of 20.65 or 1.34%. The stock has hit a new 52-week low today and has underperformed its sector by 1.68%. It has been on a downward trend for the last four days, accumulating a total return of -7.72% over the past week. Additionally, the stock is trading below its moving averages across various time frames, indicating a bearish sentiment. While the company has strong long-term fundamentals, including a healthy growth rate in net sales and operating profit, the high valuation and significant proportion of pledged promoter shares are contributing to the stock's recent struggles.
In the broader market context, Aavas Financiers has underperformed the benchmark Sensex, which has seen a decline of only 1.84% over the past week, compared to the stock's sharper drop. The stock's consistent underperformance against the benchmark over the last three years, coupled with a negative return of -11.03% in the past year, further highlights its challenges. The increase in pledged shares among promoters adds additional pressure in a falling market, which could deter potential investors. Overall, the combination of these factors suggests a challenging environment for Aavas Financiers, leading to its current price decline.