Why is Mega Nirman falling/rising?

As of 04-Jul, Mega Nirman & Industries Ltd is experiencing a decline in its stock price, currently at Rs 22.43, which represents a decrease of 1.17 (-4.96%). Today's price summary indicates that the stock has underperformed its sector by 5.09% and has fallen after two consecutive days of gains. The stock touched an intraday low of Rs 22.42, and trading volume was higher near this low price. Despite a strong year-to-date return of 10.82% and a one-year return of 26.22%, the company faces challenges such as operating losses and weak long-term fundamental strength, which are contributing to its recent price decline. The stock is also trading at a premium compared to its peers, with a price-to-book value of 1.7, indicating a very expensive valuation.
In the broader market context, the stock's short-term performance has been notably weaker than the benchmark, with a one-week return of -3.32% compared to the Sensex's -0.74%. While the stock has shown strong returns over the past year, the recent operating losses and poor long-term growth prospects are overshadowing these gains, leading to investor caution. The rising investor participation, reflected in an 85.89% increase in delivery volume, suggests some interest, but the overall sentiment remains negative due to the company's financial challenges.