Why is Eraaya Lifespace falling/rising?

As of 23-Jun, Eraaya Lifespaces Ltd is experiencing a decline in its stock price, currently at Rs 45.72, reflecting a decrease of Rs 2.35 or 4.89%. The stock has underperformed its sector by 4.43% today and has been on a downward trend for the last two days, with a total decline of 5.44% during this period. Additionally, the stock has shown a significant year-to-date drop of 62.48% and a one-year decline of 36.91%. The company has reported negative financial results, including a drastic fall in net sales by 87.83% and consecutive operating losses, which contribute to its weak long-term fundamental strength. The high debt-to-EBITDA ratio and low return on equity further exacerbate the stock's negative outlook.
In the broader market context, while the Sensex has shown a slight increase of 0.12% over the past week, Eraaya Lifespaces Ltd has managed a positive return of 8.06% in the same timeframe, indicating some short-term volatility. However, the stock's long-term performance remains concerning, as it has significantly underperformed the market over the past year, with the BSE 500 generating returns of 2.78%. The company's high institutional holdings suggest that these investors are aware of the fundamental weaknesses, which may lead to cautious trading behavior. Overall, the combination of poor financial performance, negative market sentiment, and underperformance relative to the benchmark contributes to the stock's current decline.