Why is Mitsu Chem Plast falling/rising?

As of 17-Sep, Mitsu Chem Plast Ltd is currently priced at 107.90, reflecting an increase of 0.4 (0.37%). The stock has shown a positive trend recently, gaining 5.32% over the last three days and outperforming its sector by 0.98% today. However, despite this short-term gain, the stock has underperformed significantly over the past year, with a return of -22.68%. The company has a Return on Capital Employed (ROCE) of 10.6, indicating an attractive valuation, but it is trading at a discount compared to its peers. Additionally, the company faces challenges with a high Debt to EBITDA ratio of 2.85 times, which limits its ability to service debt, and its operating profit has only grown at an annual rate of 3.84% over the last five years.
In the broader market context, Mitsu Chem Plast's recent performance contrasts with the benchmark, as it has outperformed the Sensex by 5.22% over the past week, while the Sensex itself has only increased by 1.56%. However, the stock has consistently underperformed against the benchmark over the last three years, which may contribute to investor caution. The liquidity of the stock appears adequate for trading, but a decline in delivery volume suggests falling investor participation, which could impact future price movements. Overall, while there are some positive short-term indicators, the long-term outlook remains concerning due to the company's financial challenges and historical underperformance.