Why is Colab Platforms falling/rising?

As of 04-Jul, Colab Platforms Ltd is experiencing a price increase, currently at 38.32, reflecting a rise of 0.75 or 2.0%. The stock has shown strong performance recently, gaining 49.22% over the last 13 consecutive days and outperforming its sector by 1.87% today. In terms of returns, the stock has generated an impressive 398.96% over the past year, significantly higher than the market's average return of 2.13%. Positive financial results, including higher net sales and profits, have contributed to this upward movement, although the company faces concerns regarding its long-term fundamental strength, indicated by a relatively low return on equity (ROE) of 5.76% and a high price-to-book value ratio.
In the broader market context, Colab Platforms' short-term return of +10.34% over the past week contrasts sharply with the Sensex, which has declined by 0.74% in the same period. This strong performance relative to the benchmark suggests that investor sentiment towards Colab Platforms remains positive despite the noted weaknesses in its long-term fundamentals. The stock's liquidity remains adequate for trading, although there has been a slight decline in investor participation, as indicated by a decrease in delivery volume. Overall, while the stock is currently rising, the mixed signals regarding its valuation and fundamental strength may influence future investor decisions.