Why is Jyoti Resins falling/rising?

As of 16-Sep, Jyoti Resins and Adhesives Ltd is experiencing a price increase, with the current price at 1,277.35, reflecting a change of 7.35 (0.58%) upward. The stock has shown a trend reversal, gaining after two consecutive days of decline. Today's price performance is in line with the sector, and there has been a notable rise in investor participation, with delivery volume increasing by 233.61% compared to the 5-day average. However, the stock has underperformed against the benchmark, with a 1-week return of -0.21% compared to the Sensex's +1.58%, and a year-to-date return of -3.40% versus the Sensex's +5.43%. The company has a low debt-to-equity ratio and has demonstrated healthy long-term growth, with net sales increasing at an annual rate of 35.34% and operating profit at 61.45%.
In the broader market context, the stock's recent performance reflects a consistent underperformance against the benchmark over the last three years, generating -13.58% returns in the past year while the BSE500 has remained relatively flat at -0.73%. Despite its strong growth metrics, the stock's valuation appears expensive, with a price-to-book value of 6.7 and a PEG ratio of 5.9, indicating potential overvaluation concerns. Additionally, the lack of investment from domestic mutual funds, which hold 0% of the company, may suggest a lack of confidence in the stock's current price or business prospects. Overall, while there are positive indicators for Jyoti Resins, the broader market context and valuation concerns contribute to a cautious outlook.