Why is Amal falling/rising?

As of 21-Jul, Amal Ltd's stock price is currently at 971.45, reflecting a decrease of 41.35 points or 4.08%. The stock has been underperforming, having fallen consecutively for the last two days, resulting in a total decline of 6.72% during this period. Today's trading saw the stock reach an intraday low of Rs 955.55, with a weighted average price indicating more volume traded closer to this low. Despite a strong long-term performance, including a 164.66% return over the past year, the recent drop may be attributed to falling investor participation, as evidenced by a significant decline in delivery volume, which has decreased by 63.48% against the five-day average. While the company has shown healthy growth in net sales and profits, the high valuation metrics and low domestic mutual fund holdings may contribute to investor caution.
In the broader market context, Amal Ltd's short-term performance contrasts with the Sensex, which has seen a slight decline of 0.06% over the past week. While Amal's stock has outperformed the benchmark in the long term, the recent underperformance of 3.95% against its sector suggests a potential disconnect between its strong historical growth and current market sentiment. The stock's high price-to-book value and the limited interest from domestic mutual funds may indicate that investors are wary of its valuation, despite its impressive growth metrics.