Why is KMG Milk Food falling/rising?

As of 14-Jul, KMG Milk Food Ltd is experiencing a decline in its stock price, currently at Rs 48.98, which represents a decrease of 1.51 (-2.99%). The stock has underperformed its sector by 2.76% today and opened with a loss of 2.99%. Despite this, KMG Milk Food has shown strong performance over the past year, generating a return of 41.07%, and has outperformed the BSE500 index over various time frames, including 1 year and 3 years. However, the company faces challenges such as a negative book value and high debt levels, which contribute to its weak long-term fundamental strength. Additionally, the recent drop in delivery volume by 72.22% against the 5-day average indicates falling investor participation, which may be influencing the stock's current price movement.
In the broader market context, KMG Milk Food's short-term performance contrasts with the Sensex, which has declined by 1.42% over the past week while KMG has increased by 6.11%. This indicates that while the stock has been performing well relative to the market in the near term, the recent price drop suggests volatility and investor caution. The company's rising promoter confidence, with a 0.95% increase in stake, reflects a positive outlook for the business, yet the significant drop in profits by 98% over the past year raises concerns about its sustainability. Overall, the combination of strong past performance and current negative indicators contributes to the stock's mixed outlook.