Why is Muthoot Cap.Serv falling/rising?

As of 15-Jul, Muthoot Capital Services Ltd is experiencing a price increase, currently at Rs 356.45, reflecting a rise of 6.6 points or 1.89%. The stock has shown strong performance recently, gaining 3.38% over the last two days and outperforming its sector by 1.08%. Additionally, it has delivered impressive returns of 18.21% over the past month and 17.08% over the past year, significantly surpassing the benchmark Sensex, which has only increased by 1.79% and 2.36% in the same periods, respectively. Despite these positive movements, the stock's delivery volume has decreased by 25.81% compared to the five-day average, indicating a potential decline in investor participation.
In the broader market context, Muthoot Capital has consistently outperformed the BSE500 over the last three years, one year, and three months, showcasing its strong market-beating performance. However, it is important to note that the company has a relatively weak long-term fundamental strength, with a low return on equity (ROE) of 7 and declining profits over the past year. While the stock is trading at a discount compared to its peers and has attractive valuations, the lack of domestic mutual fund investment may signal caution among institutional investors regarding the company's long-term growth prospects.