Why is IP Rings falling/rising?

As of 26-Jun, IP Rings Ltd is experiencing a price increase, currently at Rs 147.95, reflecting a rise of 9.85 or 7.13%. The stock has shown a strong performance today, outperforming its sector by 6.8% and marking its third consecutive gain with an overall increase of 8.75% over this period. Despite this positive movement, the stock has had a challenging year, with a return of -27.14% over the past year and a decline of -23.38% year-to-date. The company has reported a high Debt to EBITDA ratio of 3.62 times and a significant drop in profits by 37.6%, which raises concerns about its long-term fundamental strength. Additionally, the stock is trading at a discount compared to its peers, which may attract some investors despite the underlying issues.
In the broader market context, IP Rings Ltd has outperformed the Sensex in the short term, with a 1-week return of +5.68% compared to the Sensex's +2.94%. However, the stock's long-term performance remains concerning, as it has underperformed the BSE 500 over the last three years and has shown a negative trend in operating profits. The recent gains may be a result of short-term trading activity rather than a fundamental recovery, especially given the falling investor participation and the significant drop in delivery volume. Overall, while the stock is rising in the short term, the long-term outlook remains weak due to fundamental challenges.