Why is Kothari Ferment. falling/rising?

As of 16-Jul, Kothari Fermentation & Biochem Ltd's stock price is currently at 67.95, reflecting an increase of 0.96 or 1.43%. The stock has outperformed its sector today, gaining for the last two days with a total return of 1.57% during this period. Despite this short-term positive movement, the stock has shown a year-to-date decline of 9.40% and a significant drop of 17.70% over the past year. Positive factors contributing to the recent rise include a substantial growth in profit before tax and net sales, alongside a favorable PEG ratio of 0.9, indicating the stock is undervalued compared to its peers. However, the company faces challenges such as weak long-term fundamentals, a high debt-to-EBITDA ratio, and decreasing promoter confidence, which may hinder sustained growth.
In the broader market context, Kothari Fermentation's recent performance contrasts with the Sensex, which has seen a 5.75% increase year-to-date. While the stock has outperformed the sector in the short term, its long-term performance remains concerning, with a negative return over the past year and a three-year underperformance compared to the BSE500. This divergence highlights the stock's struggle to maintain investor confidence amid declining promoter stakes and overall weak financial health, suggesting that while there may be short-term gains, the long-term outlook remains uncertain.