Why is Colab Platforms falling/rising?

As of 25-Jul, Colab Platforms Ltd is experiencing a price increase, currently at 51.49, reflecting a rise of 1.0 or 1.98%. The stock has shown strong performance recently, with a consecutive gain over the last 21 days, resulting in a remarkable 51.22% return during this period. Additionally, the stock has outperformed its sector by 4.1% today and is trading above its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages. Positive financial results, including the highest quarterly profit after tax (PAT) of Rs 0.95 crore and increased net sales, have contributed to the stock's upward momentum. However, concerns about its long-term fundamental strength, indicated by a low return on equity (ROE) of 5.76% and a high price-to-book value ratio of 48.4, may temper investor enthusiasm.
In the broader market context, Colab Platforms has significantly outperformed the benchmark Sensex, which has seen a decline of 0.36% over the past week, while the stock itself has risen by 10.38%. This stark contrast highlights the stock's resilience and appeal to investors despite a generally negative market environment. Furthermore, while the BSE500 index has generated negative returns of -0.19% over the past year, Colab Platforms has achieved an impressive 539.23% return, showcasing its ability to thrive even when the broader market struggles. However, the lack of domestic mutual fund investment may indicate caution among institutional investors regarding the stock's valuation and long-term prospects.