Why is Allied Blenders falling/rising?

As of 14-Jul, Allied Blenders & Distillers Ltd is experiencing a significant rise in its stock price, currently at Rs 487.70, reflecting an increase of 40.1 points or 8.96%. The stock has recently hit a new 52-week and all-time high of Rs 492.35, showcasing strong performance with a 10.97% return over the last three days. Additionally, the stock has outperformed its sector by 7.84% today. Over the past year, it has generated a return of 47.36%, significantly surpassing the market's performance, which has only seen a 2.15% increase. The company's positive financial results, including a high return on capital employed (ROCE) of 15.95% and consistent growth in operating profit and net profit, have contributed to investor confidence and the stock's upward trajectory.
In the broader market context, Allied Blenders has outperformed the Sensex, which has declined by 1.42% over the past week while the stock itself has risen by 13.31%. This contrast highlights the stock's strong market position and investor interest, despite a noted decrease in delivery volume, which fell by 34.72% against the five-day average. The stock's liquidity remains adequate for trading, and its performance over various time frames indicates robust growth potential. However, it is important to note that the stock's valuation appears expensive, with a high enterprise value to capital employed ratio, which could pose risks if market conditions change.