Why is Dr Lal Pathlabs falling/rising?

As of 02-Sep, Dr Lal Pathlabs Ltd is experiencing a decline in its stock price, currently at Rs 3,222.10, which reflects a decrease of Rs 57.85 or 1.76%. The stock has been underperforming, having fallen for the last eight consecutive days, resulting in a total decline of 6.61% during this period. Today's performance indicates that it has underperformed its sector by 1.83%. Additionally, the stock's delivery volume has significantly decreased, falling by 61.44% compared to the five-day average, suggesting reduced investor participation. Despite strong long-term fundamentals, including a solid average Return on Equity (ROE) of 20.50% and low debt levels, the stock's valuation appears expensive, which may be contributing to the recent price decline.
In the broader market context, Dr Lal Pathlabs' short-term return of -2.73% over the past week contrasts with the Sensex, which has only declined by 0.78%. While the stock has shown positive returns over the longer term, such as a 7.76% increase year-to-date, its one-year performance remains negative at -4.95%, indicating a struggle to maintain momentum. The company's high institutional holdings at 39.6% suggest that knowledgeable investors are backing it, yet the stock's recent performance and high valuation relative to its peers may be causing caution among retail investors, further impacting its price negatively.