Why is Atvo Enterprises falling/rising?

As of 18-Jul, Atvo Enterprises Ltd is experiencing a price increase, currently at Rs. 21.84, reflecting a change of 0.59 or 2.78% upward. The stock has recently hit a new 52-week high of Rs. 22.22, although it has underperformed its sector by 0.65% today. Over the past week, the stock has shown a strong performance with a return of 10.58%, and an impressive year-to-date return of 118.62%. Despite these positive trends, the company faces challenges, including operating losses and a weak ability to service its debt, which may contribute to investor caution. The stock's high PEG ratio of 6.7 indicates that while the stock has generated significant returns, its profits have not kept pace, suggesting potential overvaluation.
In the broader market context, Atvo Enterprises has significantly outperformed the benchmark Sensex, which has seen a decline of 0.90% over the past week. This stark contrast highlights the stock's strong performance relative to the market. However, the company's weak long-term fundamentals, including negative EBITDA and a poor EBIT to interest ratio, may temper investor enthusiasm despite the recent price rise. The rising investor participation, evidenced by a 132.86% increase in delivery volume, suggests that some investors remain optimistic about the stock's potential, even as it faces inherent risks.