Why is Mukand falling/rising?

As of 27-Jun, Mukand Ltd's stock price is currently at 140.50, reflecting a decrease of -0.25, or -0.18%. The stock has been experiencing a decline, having lost -1.61% over the last two days. Despite this recent downturn, Mukand has shown strong performance over the past week and month, with returns of +22.71% and +19.07%, respectively. However, the stock has generated a negative return of -13.72% over the past year, coinciding with a significant drop in profits by -26%. The company’s weak long-term fundamentals, indicated by a low Return on Capital Employed (ROCE) of 5.63% and a high Debt to EBITDA ratio of 5.83 times, contribute to its current struggles. Additionally, the stock is trading at a discount compared to its peers, but the lack of domestic mutual fund investment suggests a lack of confidence in its valuation.
In the broader market context, Mukand's recent performance contrasts sharply with the benchmark Sensex, which has increased by +2.00% over the past week and +3.07% over the past month. While Mukand's short-term returns have outperformed the benchmark significantly, its long-term underperformance, particularly over the last three years, raises concerns. The stock's consistent decline in operating profit and the lowest inventory turnover ratio further exacerbate investor apprehension. Thus, despite some short-term gains, the overall sentiment remains negative due to fundamental weaknesses and declining investor participation.