Why is CARE Ratings falling/rising?

As of 18-Jul, CARE Ratings Ltd's stock price is currently at 1,774.45, reflecting a decline of 17.95 points, or 1.0%. The stock has been experiencing a downward trend, having lost 3.79% over the last three days. Despite this recent decline, the company has shown strong performance over the longer term, with a year-to-date return of 30.93% and a remarkable 73.13% increase over the past year. However, today's trading volume has decreased by 7.37% compared to the five-day average, indicating falling investor participation. While the company boasts a low debt-to-equity ratio and has reported positive results for seven consecutive quarters, concerns about its long-term growth potential and high valuation relative to peers may be contributing to the recent price drop.
In the broader market context, the stock's short-term performance has outpaced the benchmark Sensex, which has declined by 0.90% over the past week, while CARE Ratings has only fallen by 0.14%. Despite this, the stock's recent consecutive falls and lower delivery volume suggest a cautious sentiment among investors. The company's strong institutional holdings at 53.13% and consistent returns over the past three years provide a solid foundation, yet the high price-to-book ratio and slower growth in net sales and operating profit could be weighing on investor confidence, leading to the current decline in stock price.