Why is Garware Hi Tech falling/rising?

As of 19-Aug, Garware Hi Tech Films Ltd is experiencing a significant rise in its stock price, currently at Rs 3,011.00, reflecting an increase of 205.8 points or 7.34%. The stock has shown positive momentum recently, having gained 8.43% over the last two days and outperforming its sector by 4.8% today. It opened with a gain of 3.63% and reached an intraday high of Rs 3,100, indicating strong buying interest. However, despite this recent uptick, the stock has faced challenges over the longer term, with a year-to-date decline of 40.44% and a one-month drop of 18.62%. The company maintains a low debt-to-equity ratio and has demonstrated healthy long-term growth in net sales and operating profit, but it also faces concerns regarding its valuation, as it trades at a premium compared to peers.
In the broader market context, Garware Hi Tech's short-term performance has significantly outpaced the benchmark Sensex, which has only risen by 1.76% over the past week. The packaging sector, in which Garware operates, has also seen a gain of 2.71%. However, the stock's liquidity appears to be declining, with a notable drop in delivery volume, which may indicate falling investor participation. Additionally, the company reported flat results in its latest quarterly earnings, with a decline in net sales compared to previous quarters, contributing to concerns about its valuation despite recent gains. Overall, while the stock is currently rising, it is essential to consider the mixed signals from its performance metrics and market conditions.