Why is Fineotex Chem falling/rising?

As of 11-Sep, Fineotex Chemical Ltd is experiencing a decline in its stock price, currently at 240.05, which reflects a decrease of 2.95 or 1.21%. The stock has underperformed its sector by 1.07% today and has shown a trend reversal after two consecutive days of gains. Additionally, the stock's performance over the past week is positive at +0.86%, but it has significantly underperformed over the longer term, with a year-to-date decline of 27.53% and a one-year drop of 41.37%. The company's recent financial results have been negative, with three consecutive quarters of poor performance, including a 23.5% drop in profit before tax compared to the previous four-quarter average. Despite a high return on equity of 21.66% and a low debt-to-equity ratio, the stock's valuation appears expensive relative to its peers, contributing to investor skepticism.
In the broader market context, the Sensex has increased by 1.03% over the past week, while Fineotex Chemical Ltd has only managed a gain of 0.86%, indicating a lag in performance compared to the benchmark. The stock's long-term underperformance is further highlighted by its returns over the last three years, where it has consistently fallen behind the BSE500 index. Institutional investors have also reduced their stake in the company, reflecting a lack of confidence in its future prospects. Overall, the combination of negative financial results, declining investor participation, and consistent underperformance against the benchmark has contributed to the stock's current downward movement.