Why is Elgi Equipments falling/rising?

As of 17-Sep, Elgi Equipments Ltd's stock is rising, with a current price of 494.00, reflecting an increase of 26.2 or 5.6%. The stock has shown strong performance today, outperforming its sector by 3.89% and achieving a consecutive gain over the last two days, with a total return of 6.24% in this period. It reached an intraday high of Rs 502.65, indicating positive momentum. Additionally, the stock has seen a rise in investor participation, with delivery volume increasing by 14.69% against the 5-day average. Despite a year-to-date decline of 14.58% and a significant drop of 33.02% over the past year, the company demonstrates high management efficiency, a strong ability to service debt, and healthy long-term growth, which may contribute to the recent positive price movement.
Broader market context shows that Elgi Equipments has outperformed the Sensex in the short term, with a 1-week return of 5.12% compared to the Sensex's 1.56%. However, the stock's long-term performance remains below par, with negative returns over the past year and three years. While the stock is trading at a discount compared to its peers, its high valuation metrics and underperformance relative to broader indices may still weigh on investor sentiment. The presence of high institutional holdings suggests that more informed investors are backing the stock, which could provide some stability amid its fluctuating performance.