Why is Colab Platforms falling/rising?

As of 07-Jul, Colab Platforms Ltd is experiencing a price increase, with its current price at 39.08, reflecting a rise of 0.76 or 1.98%. The stock has shown strong performance, gaining 52.18% over the last 14 days and outperforming its sector today. In terms of returns, the stock has increased by 10.33% over the past week, 6.40% over the past month, and an impressive 418.99% over the past year, significantly surpassing the BSE500 market returns of 1.74%. Positive financial results, including a remarkable 4,002.13% growth in net sales for the nine-month period and a higher profit after tax, have contributed to this upward momentum. However, concerns about long-term fundamental strength persist, as indicated by a low average return on equity of 5.76% and a high price-to-book value ratio of 36.7, suggesting the stock may be overvalued compared to its peers.
In the broader market context, Colab Platforms' short-term performance has been notably strong, with a weekly return of 10.33% compared to a slight decline of 0.20% in the Sensex. This outperformance highlights the stock's resilience and attractiveness to investors, especially given its recent consecutive gains and rising investor participation, as evidenced by increased delivery volumes. Despite the stock's impressive short-term gains, the high valuation metrics and relatively weak long-term fundamentals may pose risks for future performance, indicating a complex outlook for potential investors.