Why is Coforge falling/rising?

As of 08-Aug, Coforge Ltd's stock price is currently at 1,606.35, reflecting a decline of 96.65 points or 5.68%. The stock has underperformed its sector by 4.88% today, reaching an intraday low of Rs 1602, which represents a drop of 5.93%. Over the past week, the stock has decreased by 5.74%, and it has shown a significant decline of 17.41% over the past month. Despite strong long-term fundamentals, including a robust average Return on Equity (ROE) of 20.41% and healthy net sales growth, the stock is facing pressure due to its high valuation metrics, such as a Price to Book Value of 8.4, which is considered expensive compared to peers. Additionally, while institutional holdings are high at 89.75%, indicating confidence from larger investors, the stock's recent performance has been hindered by its trading below key moving averages.
In the broader market context, Coforge's short-term performance contrasts sharply with the benchmark Sensex, which has only declined by 0.92% over the same week. The stock's year-to-date performance is also concerning, with a drop of 17.02%, while the Sensex has gained 2.20% during this period. This disparity highlights the challenges Coforge faces in the current market environment, despite its historical performance showing a 37.29% return over the past year and a strong long-term growth trajectory. The combination of high valuations and recent underperformance relative to the market may be contributing to the stock's current decline.