Why is Daikaffil Chem falling/rising?

As of 27-Jun, Daikaffil Chemicals India Ltd's stock price is currently at Rs 161.70, reflecting an increase of 2.65 (1.67%). The stock opened the day with a gain of 4.97%, reaching an intraday high of Rs 166.95, but also experienced a low of Rs 155.25. Despite this positive movement, the stock underperformed its sector by 0.47%. Over the past week, the stock has shown a return of 7.80%, significantly outperforming the Sensex, which returned 2.00%. However, year-to-date, the stock is down 35.32%, despite a strong one-year return of 39.24%, indicating volatility and mixed performance. The increase in promoter stake by 1.4% signals confidence in the company's future, but the company also faces challenges with operating losses and a weak ability to service debt, which may contribute to investor caution.
In the broader market context, while Daikaffil Chemicals has outperformed the benchmark in the last year, its recent performance has been inconsistent. The stock's short-term return of 7.80% over the past week is notably higher than the Sensex's 2.00%, indicating a positive trend relative to the market. However, the decline in delivery volume by 35.7% against the 5-day average suggests a decrease in investor participation, which could hinder sustained price increases. Overall, while the stock has shown some positive movements and strong returns over the past year, underlying financial weaknesses and reduced trading activity may be causing caution among investors.