Why is Mahalaxmi Fab. falling/rising?

As of 18-Jul, Mahalaxmi Fabric Mills Ltd is experiencing a price increase, currently at Rs 34.49, which reflects a rise of 1.64 or 4.99%. The stock has shown strong performance recently, gaining 27.41% over the past week and outperforming its sector by 5.83% today. It has been on a consecutive gain streak for the last five days, indicating positive momentum. However, despite this short-term rise, the company faces significant challenges, including operating losses and a weak long-term fundamental strength, as evidenced by a negative EBIT to Interest ratio and low profitability reflected in a Return on Equity of just 0.79%. The latest financial results show a decline in profit after tax and net sales, which raises concerns about the sustainability of the stock's recent gains.
In the broader market context, while Mahalaxmi Fabric Mills Ltd has outperformed the Sensex by a considerable margin in the short term, with a 27.41% increase compared to the Sensex's decline of 0.90% over the same period, the company's year-to-date performance remains concerning, with a decline of 30.18% against the Sensex's gain of 4.63%. This juxtaposition highlights the stock's volatility and the risks associated with its current valuation, especially given the negative operating profits and the company's overall financial health.