Why is Diamond Power falling/rising?

As of 28-Jul, Diamond Power Infrastructure Ltd is experiencing a price increase, currently at Rs 167.75, which reflects a rise of Rs 4.9 or 3.01%. The stock has shown a trend reversal, gaining after two consecutive days of decline. Today, it reached an intraday high of Rs 170.5, indicating strong intraday performance, although it also touched a low of Rs 159.6. The stock has outperformed its sector by 3.2% today and has demonstrated impressive long-term performance, with a 29.58% return over the past year and a staggering 90,575.68% over the last three years. Positive factors contributing to this rise include consistent growth in net sales and profit after tax over the last six quarters, alongside a high inventory turnover ratio. However, the company also faces challenges such as a negative book value and high debt levels, which could pose risks to its long-term stability.
In the broader market context, Diamond Power's recent performance contrasts with the benchmark Sensex, which has declined by 1.59% over the past week. While the stock has gained 29.69% over the past month, the Sensex has fallen by 3.77% in the same period, highlighting the stock's relative strength in a declining market. Despite this, the company’s weak long-term fundamentals, including a negative net worth and low domestic mutual fund interest, suggest caution for investors. Overall, while the stock is currently rising, its long-term outlook remains uncertain due to underlying financial weaknesses.