Why is Devyani Intl. falling/rising?

As of 01-Aug, Devyani International Ltd is experiencing a decline in its stock price, currently at 161.90, which represents a decrease of 1.05 or 0.64%. The stock has been on a downward trend, losing value for the past eight consecutive days, resulting in a total decline of 8.12% during this period. Additionally, the stock has underperformed in the past week and month, with returns of -5.84% and -4.03%, respectively. Despite a recent outperformance against its sector by 1.85%, the overall sentiment remains negative, compounded by a significant drop in investor participation, with delivery volume decreasing by 29.7% compared to the five-day average. The company’s fundamentals are concerning, with a return on capital employed of only 5.9% and a substantial profit decline of 77.4% over the past year, which has contributed to its weak long-term outlook.
In the broader market context, the stock's performance has been notably weaker than the benchmark, with a year-to-date return of -10.87% compared to the Sensex's positive return of 3.15%. This consistent underperformance against the benchmark, coupled with a high debt-to-EBITDA ratio of 3.34 times, indicates challenges in servicing debt and maintaining profitability. The lifestyle sector, in which Devyani operates, has also seen a decline of 2.61%, reflecting broader market pressures. The combination of these factors suggests that while there may be attractive valuations relative to peers, the overall market sentiment and company-specific challenges are driving the stock's decline.