Why is Bluechip Tex Ind falling/rising?

As of 12-Jun, Bluechip Tex Industries Ltd is experiencing a price increase, currently at Rs 161.00, reflecting a rise of 6.5 or 4.21%. The stock has shown positive momentum, outperforming its sector by 5.22% today and achieving a consecutive gain over the last two days with a total return of 6.34%. It reached an intraday high of Rs 165, indicating strong trading activity, although it also saw a low of Rs 150.05. The stock is trading above its moving averages across various timeframes, and there has been a significant increase in investor participation, with delivery volume rising by 140.54% compared to the five-day average. However, the company faces challenges, including weak long-term fundamental strength, a negative CAGR growth in operating profits, and low profitability, which could impact investor sentiment despite the recent price increase.
In the broader market context, Bluechip Tex Industries Ltd has outperformed the Sensex in the short term, with a 1-week return of +3.21% compared to the benchmark's +0.31%. However, the stock has struggled over the longer term, with a year-to-date return of -14.68% against the Sensex's +4.55%. This consistent underperformance over the past three years, coupled with negative operating profits and a weak ability to service debt, suggests that while the stock is currently rising, it remains risky and may not sustain this momentum without significant improvements in its fundamentals.