Why is Mercury Labs falling/rising?

As of 24-Sep, Mercury Laboratories Ltd is currently priced at 875.00, with no change in price (0.00%). The stock has shown a positive performance in the short term, with a 1-week return of +1.74% and a 1-month return of +3.68%, outperforming the Sensex, which has seen a decline of -1.18% over the same week. However, the stock has underperformed over the longer term, with a year-to-date return of -2.34% and a 1-year return of -15.38%. Despite trading above its moving averages, the stock has experienced a significant drop in investor participation, with delivery volume falling by -61.54% against the 5-day average. The company maintains a low debt-to-equity ratio of 0.02 times and has a fair valuation with a return on equity of 7, but its profits have decreased by -24.6% over the past year, contributing to the stock's negative performance.
In the broader market context, while the Sensex has generated a positive return of +4.58% year-to-date, Mercury Laboratories Ltd has lagged behind, indicating a struggle to keep pace with market trends. The stock's long-term growth prospects appear weak, with net sales growing at an annual rate of only 6.51% and operating profit at 2.35% over the last five years. Additionally, the company reported flat results in June 2025, with cash and cash equivalents at their lowest level of Rs 2.19 crore. This combination of poor long-term growth and underperformance relative to the market suggests that investors may be cautious about the stock's future potential, contributing to its current price stagnation.