Why is Amal falling/rising?

As of 25-Jul, Amal Ltd's stock price is currently at 1,044.90, reflecting a decline of 18.25 points or 1.72%. The stock has been experiencing a downward trend, having lost 4.14% over the last two days, despite opening with a gain of 3% today and reaching an intraday high of Rs 1,095. However, it also touched a low of Rs 1,028 during the day. Over the past week, Amal has shown a positive return of 3.17%, and it has significantly outperformed the Sensex over various periods, including a remarkable 199.53% return over the last year. The company's strong financial performance, with a 54.69% growth in net sales and a 38.64% increase in net profit, supports its long-term growth narrative. However, the stock is perceived as very expensive, with a high price-to-book value and low domestic mutual fund ownership, which may contribute to the recent price decline.
In the broader market context, Amal's recent performance contrasts with the Sensex, which has seen a slight decline of 0.36% over the past week. While Amal has been outperforming the benchmark significantly in the long term, the recent drop in investor participation, as indicated by a 43.61% decrease in delivery volume, suggests a potential cooling of interest among investors. This decline in participation, coupled with the stock's high valuation metrics, may be causing some investors to reassess their positions, contributing to the stock's current downward movement.