Why is Candour Techtex falling/rising?

As of 04-Jul, Candour Techtex Ltd's stock price is rising, currently at Rs 89.00, reflecting an increase of 5.0 (5.95%). The stock has been gaining momentum, with a consecutive gain over the last two days resulting in an overall return of 8.46%. It opened with a significant gap up of 9.87% today and reached an intraday high of Rs 92.29. Additionally, the stock has outperformed its sector by 6.1%. Over the past week, it has shown a return of 5.33%, while its one-year performance stands at an impressive 94.71%, significantly higher than the market's return of 4.23%. However, despite this positive momentum, the company faces challenges such as low management efficiency and a high Debt to EBITDA ratio, which may impact its long-term profitability.
In the broader market context, Candour Techtex's short-term performance has been favorable compared to the benchmark, as it has outperformed the Sensex, which has declined by 0.74% over the past week. The stock's recent rise can be attributed to healthy long-term growth, with net sales increasing at an annual rate of 72.63%. However, the company also has significant concerns, including a low Return on Capital Employed (ROCE) of 2.20% and a high Debt to EBITDA ratio of 5.19 times, indicating potential issues with profitability and debt servicing. These mixed factors create a complex picture for investors, balancing strong recent performance against underlying financial challenges.