Why is Colab Platforms falling/rising?

As of 11-Jul, Colab Platforms Ltd is experiencing a price increase, currently at 42.28, reflecting a rise of 0.82 or 1.98%. The stock has shown impressive performance, gaining 64.64% over the last 18 days and outperforming its sector by 2.9% today. In terms of returns, the stock has surged by 463.73% over the past year, significantly outpacing the market's (BSE500) return of only 0.52%. Positive financial results, including a remarkable 4,002.13% growth in net sales and a higher profit after tax, have contributed to this upward momentum. However, concerns about weak long-term fundamental strength, indicated by an average return on equity (ROE) of 5.76% and a high price-to-book value ratio of 39.7, suggest that the stock may be overvalued compared to its peers.
In the broader market context, Colab Platforms has outperformed the Sensex, which has seen a decline of 1.12% over the past week, while the stock itself has risen by 10.33% in the same period. This stark contrast highlights the stock's strong performance relative to the market. Despite the impressive short-term gains, the high PEG ratio of 4.4 raises questions about sustainability, as the stock's profits have only increased by 69.6% over the past year. Overall, while the stock is currently rising, the mixed signals regarding its valuation and long-term fundamentals may warrant caution for investors.