Why is Kavveri Defence falling/rising?

As of 29-Aug, Kavveri Defence & Wireless Technologies Ltd is experiencing a price increase, currently at Rs 64.84, which reflects a rise of 3.08 or 4.99%. The stock has shown a trend reversal, gaining after three consecutive days of decline. Despite opening with a loss of 4.47%, it reached an intraday high of Rs 64.84. Over the past week, the stock has underperformed with a decline of 9.98%, but it has shown a strong performance over the last month with a gain of 12.43%. The company has reported positive financial results over the last four quarters, with significant growth in profit before tax and net sales, which may contribute to the recent upward movement in stock price.
In the broader market context, the stock's performance contrasts with the Sensex, which has declined by 1.84% over the past week. Although Kavveri Defence has outperformed the sector today, the overall investor participation has decreased significantly, with a 95.54% drop in delivery volume compared to the five-day average. The company’s high debt-to-equity ratio and low return on capital employed present risks, but the stock is trading at a discount compared to its peers, which may attract investors looking for value. Overall, while the stock has shown strong long-term performance, the recent price movement reflects a combination of positive earnings reports and ongoing concerns regarding its financial health.