Why is Khaitan Chemical falling/rising?

As of 11-Sep, Khaitan Chemicals & Fertilizers Ltd is experiencing a slight increase in its stock price, currently at Rs 130.50, reflecting a change of 0.5 (0.38%) upward. The stock recently hit a new 52-week high of Rs 134.15, indicating strong performance. It has shown impressive returns, with a 1-week increase of 4.78% and a 1-month increase of 20.17%. Despite a recent decline in investor participation, as evidenced by a 20.96% drop in delivery volume, the company has reported outstanding financial results, including an 80.14% growth in net sales and positive results for the last three consecutive quarters. However, the company faces challenges with a high Debt to EBITDA ratio of 4.33 times, which raises concerns about its ability to service debt in the long term.
In the broader market context, Khaitan Chemicals has significantly outperformed the benchmark Sensex, which only increased by 1.03% over the past week and 1.17% over the past month, while Khaitan's returns in these periods were markedly higher. The stock's strong performance over the last year, generating a return of 58.03%, further emphasizes its market-beating capabilities. However, the low stake held by domestic mutual funds at only 0.02% may indicate a lack of confidence in the stock's valuation or business prospects, despite its recent successes. Overall, while the stock is rising, it is essential to consider both its strong short-term performance and the underlying risks that could affect its future trajectory.