Why is Kerala Ayurveda falling/rising?

As of 30-Jul, Kerala Ayurveda Ltd's stock price is rising, currently at Rs 553.15, reflecting an increase of 26.3 points or 4.99%. The stock has shown strong performance today, outperforming its sector by 4.65% and achieving a consecutive gain over the last two days with a total return of 10.26%. It opened with a gain of 2.49% and reached an intraday high of Rs 553.15. Despite recent declines over the past week and month, the stock has generated impressive returns year-to-date at +25.15% and +67.19% over the past year. However, the company faces significant challenges, including a high debt-to-equity ratio of 7.09 times, poor long-term growth, and a negative EBITDA, which raises concerns about its fundamental strength. Additionally, a reduction in promoter confidence, with a 20.75% decrease in their stake, may signal uncertainty about the company's future.
In the broader market context, Kerala Ayurveda's short-term performance has been relatively strong compared to the benchmark, as it has outperformed the Sensex by 4.65% today. While the stock has faced declines in the short term, it has significantly outperformed the benchmark over the longer term, with a remarkable 625.44% increase over the past three years compared to the Sensex's 41.53%. This contrast highlights the stock's volatility and the potential for recovery despite underlying financial challenges.