Why is Mangalam Drugs falling/rising?

As of 24-Jul, Mangalam Drugs and Organics Ltd is experiencing a decline in its stock price, currently at Rs 90.65, which represents a decrease of Rs 2.11 or 2.27%. Today's price summary indicates that the stock has underperformed its sector by 2.62% and has fallen after four consecutive days of gains. The stock touched an intraday low of Rs 89.58, reflecting a drop of 3.43%. Over the past week, the stock has shown a positive return of 6.33%, but it has underperformed the benchmark Sensex, which has remained relatively flat at -0.09%. Despite a significant increase in profits by 176.5% over the past year, the stock has generated a return of -16.10%, indicating a disconnect between profitability and stock performance. The company has a high Debt to EBITDA ratio of 2.74 times, which raises concerns about its ability to service debt, contributing to its weak long-term fundamental strength.
In the broader market context, while the stock has shown a strong performance over the past month with a return of 13.77%, it has consistently underperformed against the benchmark over the last three years, with a significant decline of 36.45% compared to the Sensex's gain of 46.57% during that period. This consistent underperformance, coupled with a low Return on Equity of 7.99%, suggests that investor sentiment may be cautious despite the attractive valuation metrics. The rising investor participation, indicated by a 15.28% increase in delivery volume, may not be sufficient to counteract the negative sentiment stemming from the company's financial struggles and the recent drop in net sales and profit after tax.