Why is Aavas Financiers falling/rising?

As of 24-Sep, Aavas Financiers Ltd. has experienced a price increase, currently standing at 1,668.95, reflecting a change of 13.15 or 0.79% upward. Today's performance indicates that the stock has outperformed its sector by 1.34%. However, despite this positive movement, the stock is trading below its 50-day, 100-day, and 200-day moving averages, suggesting some underlying weakness. The delivery volume has significantly decreased, falling by 76.67% against the 5-day average, indicating a decline in investor participation. While the company has shown strong long-term fundamentals with a healthy growth rate in net sales and operating profit, it also faces challenges such as a high valuation and a significant proportion of pledged promoter shares, which could exert downward pressure on the stock.
In the broader market context, Aavas Financiers has underperformed against the benchmark, with a 1-week return of +0.96% compared to the Sensex's -1.18%. Over the past year, the stock has generated a return of -11.82%, contrasting with the Sensex's decline of only 3.77%. This consistent underperformance over the last three years, combined with the recent flat results and high valuation metrics, suggests that while there may be short-term gains, the long-term outlook remains cautious. The increased proportion of pledged shares among promoters further complicates the stock's stability in a falling market, contributing to a more bearish sentiment among investors.