Why is Margo Finance falling/rising?

As of 26-Aug, Margo Finance Ltd's stock price is currently at 80.45, reflecting an increase of 0.45, or 0.56%. The stock has shown a trend reversal by gaining after two consecutive days of decline and has outperformed its sector by 2.51%. However, it is trading below its moving averages across various time frames, indicating potential weakness. Over the past week, the stock has gained 0.56%, while its one-month performance shows a decline of 9.61%. Despite a strong one-year return of 44.18%, the company has faced challenges, including a low return on equity of 0.14% and a significant drop in profits by 13% over the past year, which raises concerns about its long-term fundamental strength.
In the broader market context, Margo Finance's recent performance contrasts with the Sensex, which has declined by 1.05% over the past week. The finance/NBFC sector has also experienced a downturn, falling by 2.02%. While the stock has outperformed the sector in the short term, the overall market sentiment remains negative, as evidenced by the BSE500's negative returns of 3.87% over the last year. The falling investor participation, with a dramatic drop in delivery volume, further suggests a lack of confidence among investors, which may contribute to the stock's volatility despite its historical performance.