Why is Dhampur Bio falling/rising?

As of 04-Sep, Dhampur Bio Organics Ltd's stock is currently priced at 85.79, reflecting a decline of 2.63 (-2.97%). The stock has been underperforming, having fallen for the last two days with a total return of -3.05% during this period. It also touched an intraday low of Rs 85.65. Over the past week, the stock has shown a modest gain of 1.35%, but it has significantly underperformed the sector by 1.47% today. Despite a higher valuation compared to its peers, the company has faced challenges, including a substantial drop in profits by 116.7% over the past year, leading to a negative return of -39.48% in the last year. The weak long-term fundamentals, highlighted by a -31.98% CAGR growth in operating profits over the last five years and a high Debt to EBITDA ratio of 7.92 times, further contribute to the stock's downward movement.
In the broader market context, while the Sensex has gained 0.80% over the past week, Dhampur Bio's performance has lagged behind, indicating a lack of investor confidence. The stock's year-to-date performance shows a decline of 25.11%, contrasting sharply with the Sensex's gain of 3.30%. The low participation from domestic mutual funds, holding only 0% of the company, suggests a lack of comfort with the stock's current valuation, which may be influencing its price decline. Overall, the combination of weak financial indicators, declining investor interest, and underperformance relative to the market are key factors contributing to the stock's current downward trend.