Why is Muthoot Microfin falling/rising?

As of 02-Sep, Muthoot Microfin Ltd's stock price is currently at Rs 162.00, reflecting an increase of Rs 5.55, or 3.55%. The stock has been performing well recently, gaining 6.51% over the last two days and outperforming its sector by 3.68% today. It is also trading above its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages, indicating a positive trend. Despite a year-to-date decline of 7.06% and a significant drop of 28.40% over the past year, the company has shown strong long-term fundamental strength with a 45.40% CAGR growth in net sales. Positive financial results reported for June 2025, including substantial growth in operating cash flow and profit after tax, have likely contributed to the recent upward movement in the stock price. However, there is a noted decline in investor participation, with delivery volume falling by 29.65% against the 5-day average.
In the broader market context, Muthoot Microfin's short-term return of 7.53% over the past week stands in stark contrast to the Sensex, which has declined by 0.78% during the same period. This outperformance suggests that the stock is gaining traction despite broader market challenges. The high institutional holdings at 25.89% indicate confidence from more sophisticated investors, which may further support the stock's price stability and growth potential. Overall, while the stock has faced significant challenges over the past year, recent positive developments and strong fundamentals appear to be driving its current rise.