Why is Cummins India falling/rising?

As of 18-Aug, Cummins India Ltd. is currently priced at 3,784.20, reflecting a slight increase of 3.9 (0.1%). The stock is trading 3.76% away from its 52-week high and has shown a mixed performance recently, underperforming its sector by 0.55% today. Over the past month, the stock has gained 7.28%, while it has generated a year-to-date return of 15.37%. Despite this positive trend, there has been a notable decline in investor participation, with delivery volume falling by 50.21% against the 5-day average. The company benefits from strong long-term fundamentals, including a healthy average return on equity of 20.76% and significant growth in net sales and operating profit. However, it faces challenges with a high valuation, as indicated by its price-to-book ratio of 13.9, which suggests it is trading at a premium compared to its peers.
In the broader market context, Cummins India's recent performance contrasts with the benchmark Sensex, which has increased by 0.83% over the past week. While the stock has outperformed the Sensex over the longer term, including a remarkable 203.25% gain over the past three years, its short-term underperformance relative to the benchmark may be contributing to investor caution. The high institutional holdings at 40.14% indicate confidence among larger investors, but the stock's expensive valuation and the recent drop in trading volume could be causing some investors to reassess their positions. Overall, while the company shows strong fundamentals, the combination of high valuation and reduced trading activity may be influencing the stock's recent price movements.