Why is Dodla Dairy falling/rising?

As of 31-Jul, Dodla Dairy Ltd's stock price is currently at 1,271.50, reflecting a decrease of 27.5 points or 2.12%. Today's price summary indicates that the stock has underperformed its sector by 3.95% and opened with a loss of 2.46%. It has experienced a trend reversal, falling after two consecutive days of gains, and reached an intraday low of Rs 1260.2. Over the past week, the stock has declined by 4.98%, and in the last month, it has fallen by 11.61%. Despite a positive return of 6.06% over the past year, the stock's performance has been hindered by a significant drop in investor participation, with delivery volume decreasing by 87.87% against the five-day average. However, the company maintains a high management efficiency with a return on equity (ROE) of 15.36% and a low debt-to-equity ratio, which supports its valuation.
In the broader market context, Dodla Dairy's recent performance contrasts with the benchmark Sensex, which has only declined by 1.22% over the past week. While the stock has shown consistent returns over the last three years, outperforming the BSE500, its current decline may be attributed to a combination of falling investor interest and a recent trend reversal. The stock's premium valuation compared to peers and high institutional holdings at 29.25% suggest that while there are strong fundamentals, the recent price movement reflects market sentiment rather than underlying company performance.