Why is Morepen Labs. falling/rising?

As of 03-Jul, Morepen Laboratories Ltd's stock price is rising, currently at 63.94, reflecting an increase of 2.23 or 3.61%. The stock has shown a strong performance today, outperforming its sector by 3.43% and reaching an intraday high of Rs 64.27. In the past week, the stock has gained 2.62%, while its one-year return stands at 13.89%, significantly higher than the market's return of 2.20%. However, there has been a decline in investor participation, with delivery volume falling by 33.93% compared to the five-day average. Despite this, the company maintains a low debt-to-equity ratio and has demonstrated healthy long-term growth, with operating profit increasing at an annual rate of 35.63%.
In the broader market context, Morepen Laboratories Ltd's recent performance contrasts with the Sensex, which has declined by 0.62% over the past week. While the stock has shown resilience and positive returns over the past year, it has underperformed in the longer term, with a year-to-date decline of 18.34% compared to the Sensex's gain of 6.53%. The company's attractive valuation, trading at a discount to its peers, and a return on equity of 10.2% suggest potential for growth. However, the negative results reported in March, including a significant drop in profit before tax and a low earnings per share, may contribute to cautious sentiment among investors, particularly as domestic mutual funds hold no stake in the company, indicating a lack of confidence in its current valuation.