Why is Cholaman.Inv.&Fn falling/rising?

As of 25-Sep, Cholamandalam Investment & Finance Company Ltd is experiencing a decline in its stock price, currently at Rs 1,592.15, which reflects a decrease of Rs 39.45 or 2.42%. Today's price summary indicates that the stock underperformed its sector by 1.06%, reaching an intraday low of Rs 1,586.75. Despite this decline, the stock has shown positive performance over the past week and month, with returns of 0.39% and 5.59%, respectively. The company has demonstrated strong long-term fundamentals, with a healthy average return on equity of 17.64% and consistent growth in net sales and operating profit. However, the stock is considered expensive with a high price-to-book value of 5.7, which may deter some investors despite its positive financial results over the last 11 quarters.
In the broader market context, the stock's recent performance contrasts with the benchmark Sensex, which has declined by 2.23% over the past week and 0.58% over the past month. While Cholamandalam has outperformed the benchmark in the longer term, with a year-to-date return of 34.18% compared to the Sensex's 3.87%, the current price drop may reflect investor caution regarding its high valuation relative to peers. Additionally, the rising investor participation, indicated by a 25.24% increase in delivery volume, suggests that there is still interest in the stock, despite the recent price decline.