Why is Escorts Kubota falling/rising?

As of 24-Sep, Escorts Kubota Ltd is experiencing a decline in its stock price, currently at Rs 3,696.20, which reflects a decrease of Rs 41.8 or 1.12%. The stock has shown a mixed performance recently, with a 1-week return of +0.80% and a 1-month return of +3.33%, indicating some resilience despite the current drop. Today's trading activity shows that the stock touched an intraday low of Rs 3,651.65, down 2.31%, but it is still trading above its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages. Additionally, there has been a notable increase in investor participation, with delivery volume rising by 17.72% against the 5-day average. The company has a low debt-to-equity ratio and has reported strong operating cash flow and profit growth, which are positive indicators for its financial health.
In the broader market context, the stock's recent performance contrasts with the Sensex, which has declined by 1.18% over the past week. While Escorts Kubota has generated a return of -14.69% over the past year, its profits have increased significantly by 42.9%, suggesting that the stock may be undervalued compared to its peers, as indicated by its lower PEG ratio of 0.7. However, the stock is perceived as having a very expensive valuation with a high price-to-book value, which could be contributing to the current price decline despite its strong fundamentals. Overall, while the stock has shown positive trends in certain areas, the recent price drop may reflect market corrections or investor sentiment regarding its valuation.