Why is Dhoot Indl.Fin falling/rising?

As of 08-Jul, Dhoot Industrial Finance Ltd's stock price is currently at 269.95, reflecting an increase of 5.2, or 1.96%. The stock has shown a strong performance today, outperforming its sector by 2.65% and achieving a consecutive gain over the last two days, with a total return of 6.43% during this period. Additionally, the stock has performed well over the past week and month, with returns of +8.92% and +12.39%, respectively. However, despite these short-term gains, the company faces significant challenges, including operating losses and a weak ability to service its debt, as indicated by a poor EBIT to Interest ratio of -1.13. The company has also reported negative results for the last two consecutive quarters, contributing to a negative return on capital employed (ROCE) and a substantial decline in net sales.
In the broader market context, while Dhoot Industrial Finance Ltd has outperformed the Sensex in the short term, it has significantly underperformed over the past year, with a return of -13.32% compared to the Sensex's +4.69%. This stark contrast highlights the stock's volatility and the risks associated with its current financial health. The company's recent positive price movement may be attributed to increased investor participation and favorable short-term trading conditions, but the underlying financial issues and negative earnings reports suggest a cautious outlook moving forward.