Why is Karma Energy Ltd falling/rising?

As of 13-Aug, Karma Energy Ltd is experiencing a decline in its stock price, currently at 55.00, which reflects a decrease of 0.69 or 1.24%. The stock has underperformed its sector by 1.29% today and has been on a consecutive downward trend for the last two days, resulting in a total decline of 1.68%. Over the past month, the stock has seen a significant drop of 25.63%, and its year-to-date performance shows a decrease of 10.20%. The company is trading below all its moving averages, indicating a bearish trend. Additionally, there has been a decline in investor participation, with delivery volume falling by 4.13% against the five-day average. The company's weak long-term fundamentals, characterized by operating losses and a high debt-to-EBITDA ratio of 3.35 times, further contribute to the negative sentiment surrounding the stock.
In the broader market context, Karma Energy Ltd's performance has been notably worse than the benchmark, with a one-year return of -34.90% compared to the BSE500's decline of only -0.64%. This stark contrast highlights the company's struggles relative to the overall market. Despite a significant increase in profits over the past year, the stock's valuation appears risky, as indicated by its low return on equity of 2.41% and a PEG ratio of 0.1. Such factors, combined with the company's inability to service its debt effectively, have led to a lack of investor confidence, contributing to the stock's downward trajectory.