Why is Dr Lal Pathlabs falling/rising?

As of 29-Sep, Dr Lal Pathlabs Ltd's stock price is currently at Rs 3,141.00, reflecting a decrease of Rs 54.4 or 1.7%. The stock has been underperforming, having fallen consecutively for the last six days, resulting in a total decline of 9.7% during this period. Additionally, the stock's performance today has underperformed its sector by 2.54%. In terms of returns, the stock has seen a decline of 7.41% over the past week and 4.79% over the past month, while it has a year-to-date return of 5.05%. Despite strong long-term fundamentals, including a high Return on Equity (ROE) of 20.50% and low debt levels, the stock's valuation appears expensive, contributing to its recent price decline.
Broader market context indicates that while the Sensex has fallen by 2.18% over the past week, Dr Lal Pathlabs' decline of 7.41% is significantly steeper, highlighting its underperformance relative to the benchmark. The stock's liquidity has also decreased, with a notable drop in delivery volume by 42.76% compared to the five-day average, suggesting reduced investor interest. Although the company boasts strong institutional holdings and positive financial results, the combination of high valuation concerns and recent negative price momentum has led to the current downward trend in its stock price.