Why is Kilitch Drugs falling/rising?

As of 12-Sep, Kilitch Drugs (India) Ltd is experiencing a decline in its stock price, currently at Rs 360.35, which reflects a decrease of Rs 2.05 or 0.57%. The stock has underperformed its sector by 0.86% today and has been on a consecutive downward trend for the last two days, resulting in a total decline of 2.13%. Additionally, the stock has shown poor performance over the past week and month, with returns of -3.33% and -19.92%, respectively. Despite a strong long-term growth in net sales and operating profit, the company faces challenges such as low return on equity (ROE) of 7.27%, flat quarterly results, and a significant drop in profitability metrics compared to previous quarters, which may be contributing to the stock's recent decline.
In the broader market context, the Sensex has gained 1.48% over the past week and 2.08% over the past month, indicating that Kilitch Drugs is lagging behind the benchmark significantly. The stock's performance is further compounded by falling investor participation, as evidenced by a 52.21% drop in delivery volume compared to the five-day average. The company's low debt-to-equity ratio and a PEG ratio of 0.2 suggest that while it may be undervalued compared to peers, the lack of domestic mutual fund investment signals a lack of confidence in the stock's current valuation. Overall, the combination of poor management efficiency, declining profitability, and weak investor interest is contributing to the stock's downward trajectory.