Why is ICICI Lombard falling/rising?

As of 02-Jul, ICICI Lombard General Insurance Company Ltd is experiencing a decline in its stock price, currently at 2,046.95, reflecting a decrease of 11.05 points or 0.54%. Despite this drop, the stock has shown strong performance in the past week, gaining 1.81%, and has outperformed the benchmark Sensex, which increased by 0.79%. The stock has also been trading above its moving averages across various time frames, indicating a generally positive trend prior to this decline. However, the stock has fallen after three consecutive days of gains, which may suggest a natural correction. The company maintains strong long-term fundamentals, with a robust average Return on Equity (ROE) of 16.56% and high institutional holdings at 41.52%. Nevertheless, concerns about its valuation, indicated by a high Price to Book Value ratio and flat results in March, may be contributing to the current price movement.
In the broader market context, ICICI Lombard's year-to-date return of 14.17% significantly outpaces the Sensex's 6.75%, showcasing its strong performance relative to the market. While the stock has outperformed the benchmark in both the short and long term, the recent price drop could be seen as a reaction to profit-taking or market adjustments after a period of strong gains. The liquidity of the stock remains healthy, with increased delivery volume suggesting continued interest from investors despite the recent decline. Overall, while the stock has shown resilience and strong returns, the current dip may reflect a combination of profit-taking and concerns over valuation amidst a generally positive market backdrop.