Why is HBL Engineering falling/rising?

As of 01-Jul, HBL Engineering Ltd's stock price is currently at 620.15, reflecting an increase of 27.4, or 4.62%. The stock has shown strong performance today, outperforming its sector by 3.86% and achieving a consecutive gain over the last three days with a total return of 5.65%. It reached an intraday high of Rs 644.6, indicating positive momentum. Despite this, the company has faced challenges, including a decline in net sales of -9.49% and negative results in the last two quarters, which may affect investor sentiment. However, the stock has demonstrated healthy long-term growth with an annual operating profit increase of 54.29% and has consistently outperformed the BSE500 over the past three years.
In the broader market context, HBL Engineering's short-term return of +4.90% over the past week significantly outpaces the Sensex's +2.00% return, suggesting that the stock is gaining traction relative to the market. While the stock has shown impressive returns over the past year at +23.75%, it is important to note that its profits have decreased by -7.5% during the same period, indicating potential concerns about sustainability. Additionally, the low participation from domestic mutual funds, holding only 0.52%, may reflect a lack of confidence among institutional investors regarding the stock's valuation and future performance.