Why is Go Digit General falling/rising?

As of 21-Aug, Go Digit General Insurance Ltd's stock price is rising, currently at Rs 372.90, reflecting an increase of Rs 14.75 or 4.12%. The stock has shown strong performance today, outperforming its sector by 4.11% and reversing a trend after two consecutive days of decline. It reached an intraday high of Rs 374.85, and is trading above all key moving averages, indicating positive momentum. Additionally, the stock has demonstrated solid returns over various periods, including a 5.68% increase over the past week and a 16.86% rise year-to-date. The company has also reported strong long-term fundamentals, with a 50.90% compound annual growth rate in operating profits and consistent positive results over the last five quarters, which likely contributes to investor confidence.
In the broader market context, Go Digit's short-term performance of +5.68% over the past week significantly outpaces the Sensex, which has only risen by 1.74% in the same period. This indicates that the stock is not only performing well in isolation but is also gaining traction relative to the overall market. The high institutional holdings at 22.67% suggest that more knowledgeable investors are backing the stock, further supporting its upward movement. However, it is important to note that the stock is considered expensive with a price-to-book value of 7.5, and while it has generated a return of 4.02% over the past year, its profits have risen substantially, which may raise concerns about valuation sustainability.