Why is CEAT falling/rising?

As of 17-Jul, CEAT Ltd's stock price is currently at 3,855.25, reflecting a decrease of 21.2 points or 0.55%. The stock has been underperforming the sector, having fallen consecutively for the last three days, resulting in a total decline of 0.96% during this period. Despite this recent downturn, CEAT has shown strong performance over the longer term, with a 41.37% increase in the past year and a remarkable 341.13% rise over the last five years. The stock is trading above its moving averages, indicating a generally positive trend, and there has been a significant increase in investor participation, with delivery volume rising by 114.68% compared to the five-day average. However, the company's profits have decreased by 27.5%, which may be contributing to the current price decline.
In the broader market context, CEAT's recent performance contrasts with the Sensex, which has seen a decline of 1.12% over the past week. While CEAT has outperformed the benchmark in the longer term, its short-term struggles are evident as it has underperformed the sector today. The company's high institutional holdings at 37.47% suggest confidence from larger investors, but the flat results reported in March and a low debtors turnover ratio may raise concerns about its immediate financial health. Overall, while CEAT has demonstrated strong long-term growth potential, recent profit declines and sector underperformance are likely influencing the stock's current downward movement.