Why is Muthoot Microfin falling/rising?

As of 08-Jul, Muthoot Microfin Ltd's current price is 152.15, reflecting an increase of 0.8 (0.53%). The stock has shown a strong performance in the short term, with a 6.29% increase over the past week and an 18.50% rise over the past month, significantly outperforming the Sensex, which only increased by 0.02% and 1.85% in the same periods, respectively. However, despite these recent gains, the stock has been underperforming over the longer term, with a year-to-date decline of 12.71% and a staggering 37.85% drop over the past year. Today's trading volume indicates a decrease in investor participation, with a delivery volume that has fallen by 58.29% compared to the five-day average. The company has strong long-term fundamental strength, evidenced by a 45.40% CAGR growth in net sales and high institutional holdings at 27.79%, which may support the stock's recent upward movement.
In the broader market context, while Muthoot Microfin has outperformed the Sensex in the short term, its long-term performance remains concerning. The company has reported negative results for the last three consecutive quarters, with a significant decline in net sales and profits, leading to a negative return on equity of -8.5. This poor financial performance, coupled with a very expensive valuation, suggests that the stock may struggle to maintain its recent gains. Overall, despite the recent uptick in price, the underlying financial challenges and declining investor participation could pose risks to the stock's future performance.