Why is Natl. Gen. Inds. falling/rising?

As of 24-Sep, National General Industries Ltd is experiencing a price increase, currently at Rs 58.54, reflecting a rise of Rs 2.54 or 4.54%. The stock has shown a strong performance today, outperforming its sector by 4.67% and achieving a consecutive gain over the last two days with a total return of 9.65%. However, despite this short-term gain, the company faces significant challenges, including operating losses and a weak long-term fundamental strength, as indicated by a negative EBIT to Interest ratio of -0.80 and a reported negative ROCE. The stock has also consistently underperformed against benchmarks over the past three years, with a one-year return of -13.91%.
In the broader market context, the stock's short-term return of +8.41% over the past week stands in stark contrast to the Sensex, which has declined by 1.18% during the same period. This indicates that while National General Industries Ltd is gaining traction in the short term, it has struggled significantly over longer periods, as evidenced by its year-to-date performance of -12.63% compared to the Sensex's +4.58%. The stock's high volatility and erratic trading patterns, along with a decrease in investor participation, suggest that while there may be short-term optimism, the underlying fundamentals remain weak, making the stock a risky investment.