Why is Gujarat Gas falling/rising?

As of 07-Aug, Gujarat Gas Ltd. is experiencing a decline in its stock price, currently at Rs 424.35, reflecting a decrease of Rs 4.15 or 0.97%. The stock has underperformed its sector by 0.66% today and has shown a trend reversal after two consecutive days of gains. It reached an intraday low of Rs 419.95, indicating a 2% drop. Over the past week, the stock has decreased by 4.22%, and its performance over the last month shows a significant decline of 12.06%. Despite having a high management efficiency with a return on equity (ROE) of 20.26% and a low debt-to-equity ratio of 0.05, the company has faced challenges such as flat results in June and a decline in net sales, which fell by 6.1% compared to the previous quarter average. This poor performance has contributed to a year-to-date return of -15.13% and a staggering annual return of -33.32%.
In the broader market context, the Sensex has shown a slight increase of 3.18% year-to-date, contrasting sharply with Gujarat Gas's negative performance. The stock's recent decline is further highlighted by its underperformance against the BSE500 over various time frames, including the last three years and one year. The falling investor participation, with a significant drop in delivery volume, suggests a lack of confidence among investors, which is compounded by the stock's expensive valuation relative to its peers. Overall, the combination of disappointing financial results, declining sales, and poor long-term growth prospects has led to the stock's downward trajectory.