Why is Eternal Ltd falling/rising?

As of 18-Aug, Eternal Ltd's stock price is currently at 314.65, reflecting a decrease of 3.7 points or 1.16%. The stock has recently hit a new 52-week high of Rs. 323.75 but has underperformed its sector by 0.71% today. Despite trading above all key moving averages, the stock has seen a trend reversal after two consecutive days of gains. Additionally, there has been a significant drop in investor participation, with delivery volume falling by 46.13% against the 5-day average. While the company has demonstrated healthy long-term growth with a 73.31% annual increase in net sales and high institutional holdings, it faces challenges such as a high Debt to EBITDA ratio and negative operating profits, which have contributed to its recent price decline.
In the broader market context, Eternal Ltd has outperformed the Sensex over various periods, including a 1-week return of 1.71% compared to the Sensex's 0.83% and a 1-month return of 22.27% versus the Sensex's -0.59%. However, the stock's recent performance is overshadowed by its negative results reported for the June quarter, including a significant drop in profit before tax and a low debtors turnover ratio. These factors, combined with the stock's risky trading position relative to its historical valuations, suggest that while the stock has shown strong past performance, current financial difficulties and declining investor interest are leading to its recent price drop.