Why is LKP Finance falling/rising?

As of 01-Jul, LKP Finance Ltd is experiencing a decline in its stock price, currently at Rs 529.00, which reflects a decrease of Rs 5.5 or 1.03%. The stock has been underperforming recently, having lost 3.82% over the last two days and underperformed its sector by 0.89% today. Despite a strong long-term performance, with returns of 256.35% over the past year and 578.21% over the last three years, the company is facing significant challenges. Key negative factors include operating losses, a decrease in net sales, and a substantial drop in promoter confidence, with a 35.37% reduction in their stake. These issues contribute to a perception of weak long-term fundamental strength, leading to the stock's recent price decline.
In the broader market context, while LKP Finance has shown impressive returns over longer periods, its recent performance contrasts with the benchmark Sensex, which has only increased by 2.76% over the past month. The stock's short-term underperformance, coupled with falling investor participation and liquidity concerns, suggests that market sentiment is currently cautious. The combination of poor quarterly results, a high price-to-book ratio, and declining promoter confidence may be influencing investors' decisions to sell, further contributing to the stock's downward movement.