Why is Garnet Construct falling/rising?

As of 18-Jul, Garnet Construction Ltd's stock price is currently at 36.40, reflecting an increase of 0.77 or 2.16%. The stock has shown a trend reversal, gaining after two consecutive days of decline. It has outperformed its sector by 2.72% today, and the delivery volume has increased by 2.29% compared to the 5-day average, indicating rising investor participation. Over the past month, the stock has delivered a remarkable return of 27.09%, significantly outperforming the benchmark Sensex, which only rose by 0.38%. Despite this positive short-term performance, the company faces challenges, including operating losses and a weak long-term fundamental strength, as evidenced by a low return on equity of 8.98% and a significant decline in profit after tax over the last six months.
In the broader market context, while Garnet Construction has outperformed the Sensex in the short term, it has underperformed on a year-to-date basis, with a return of -2.41% compared to the Sensex's gain of 4.63%. Despite the stock's impressive one-year return of 37.41%, the overall market (BSE500) has generated negative returns of -0.36% during the same period, highlighting the stock's ability to stand out amidst broader market challenges. However, the company's weak profitability metrics and high valuation concerns may temper investor enthusiasm moving forward.