Why is Kaveri Seed Co. falling/rising?

As of 25-Jul, Kaveri Seed Company Ltd is currently priced at 1,115.10, reflecting a decrease of 6.6 points or 0.59%. The stock has been underperforming, having lost 0.69% over the last two days and underperformed its sector by 0.81% today. It reached an intraday low of Rs 1,093.45, indicating a significant drop of 2.52%. Over the past month, the stock has declined by 6.42%, although it has shown a strong year-to-date performance with a gain of 27.45%. Despite its high management efficiency and attractive valuation, the stock's recent price movement is negatively impacted by a decline in investor participation, as evidenced by a 53.35% drop in delivery volume compared to the five-day average.
In the broader market context, Kaveri Seed Company Ltd's short-term performance contrasts with the Sensex, which has decreased by 0.36% over the past week. While the stock has outperformed the benchmark in the year-to-date and three-year periods, its recent struggles may be attributed to falling profits and a high PEG ratio of 8.6, suggesting that the stock may be overvalued relative to its earnings growth. The high institutional holdings at 23.22% indicate a level of confidence among more sophisticated investors, yet the stock's current price decline reflects broader concerns about its profitability and market conditions.