Why is Arihant Capital falling/rising?

As of 02-Jul, Arihant Capital Markets Ltd is experiencing a rise in its stock price, currently at Rs 92.51, reflecting an increase of Rs 2.71 or 3.02%. The stock has shown strong performance recently, gaining 10.63% over the last three days and outperforming its sector by 4.25% today. It has also been trading above its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages, indicating a positive trend. Despite a year-to-date decline of 5.89%, the stock has generated a return of 26.07% over the past year, significantly outperforming the broader market, which has returned only 3.11%. However, the company has faced challenges, including a 20.3% drop in profits over the last year and negative results in the last two quarters.
Broader Market Context: In the short term, Arihant Capital's performance has been notably stronger than the benchmark Sensex, which has only increased by 0.79% over the past week compared to the stock's 6.14% gain. This indicates that investor sentiment may be favoring Arihant Capital despite its recent negative financial results, as evidenced by the stock's strong returns relative to the market. The stock's attractive valuation, with a Price to Book Value of 2.5, and solid long-term fundamentals, such as a 17.75% average Return on Equity and healthy growth in net sales, may also contribute to its rising price, even as domestic mutual funds remain hesitant to invest.