Why is Gokaldas Exports falling/rising?

As of 28-Aug, Gokaldas Exports Ltd is currently priced at Rs 699.00, reflecting an increase of Rs 8.7 or 1.26%. The stock has recently experienced a trend reversal, gaining after three consecutive days of decline, although it hit a new 52-week low of Rs 674 earlier in the day. Despite this uptick, the stock has underperformed significantly over the past week and month, with returns of -10.42% and -22.27%, respectively. The company has shown healthy long-term growth, with net sales increasing at an annual rate of 25.01% and operating profit rising by 60.83%. However, it faces challenges due to a high valuation with a Price to Book Value of 2.6 and a significant percentage of promoter shares (96.28%) being pledged, which adds downward pressure in a falling market.
Broader market context indicates that Gokaldas Exports has underperformed relative to the benchmark, with a one-year return of -25.74% compared to the BSE500's decline of -5.01%. This stark contrast highlights the stock's struggles despite positive quarterly results and growth in profits. The recent increase in delivery volume by 286.2% against the five-day average suggests rising investor participation, which may provide some support. However, the overall sentiment remains cautious due to the stock's expensive valuation and the high percentage of pledged shares, which could deter potential investors in a volatile market.