Why is AU Small Finance falling/rising?

As of 31-Jul, AU Small Finance Bank Ltd's stock price is currently at 741.20, reflecting a decrease of 5.15 points or 0.69%. The stock has underperformed its sector today by 0.53% and has experienced a trend reversal, falling after two consecutive days of gains. In terms of returns, the stock has shown a decline of 11.36% over the past month, while it has outperformed the benchmark with a year-to-date return of 32.81% compared to the Sensex's 3.90%. Positive factors contributing to the stock's strength include a robust long-term fundamental outlook, with a high Return on Assets (ROA) of 1.91%, significant growth in Net Interest Income, and a strong Capital Adequacy Ratio of 21.50%. However, the stock's recent decline may be influenced by its expensive valuation, indicated by a Price to Book Value of 3.2, despite a healthy increase in profits over the past year.
Broader Market Context: In the short term, AU Small Finance Bank's performance has been relatively better than the benchmark, as it has only declined by 0.23% over the past week compared to the Sensex's 1.22% drop. Despite the stock's recent underperformance today, it has shown resilience over the longer term, generating a return of 14.47% over the past year while the broader market has faced negative returns. The rising investor participation, as evidenced by a 44.89% increase in delivery volume, suggests that there is still interest in the stock, which may help stabilize its price in the future.