Why is CG Power & Ind falling/rising?

As of 22-Sep, CG Power & Industrial Solutions Ltd is experiencing a decline in its stock price, currently at 770.05, reflecting a decrease of 9.5 points or 1.22%. The stock has been on a downward trend, losing value for the last four consecutive days, resulting in a total decline of 2.77% during this period. Despite this recent downturn, the company has shown strong long-term fundamentals, with an average Return on Equity (ROE) of 36.30% and consistent growth in net sales and operating profit. However, the stock is considered very expensive with a high Price to Book Value ratio of 31.6, which may contribute to the recent price drop as investors reassess its valuation amidst falling profits over the past year.
In the broader market context, CG Power's short-term performance has lagged behind the benchmark, with a 1-week return of -2.66% compared to the Sensex's gain of 0.46%. While the stock has outperformed the benchmark over longer periods, such as a 3-year return of 202.34% versus the Sensex's 38.97%, the recent underperformance may be causing concern among investors. The rising investor participation, indicated by a significant increase in delivery volume, suggests that there is still interest in the stock, but the overall market sentiment and the stock's high valuation relative to its peers may be weighing on its price in the short term.