Why is NELCO falling/rising?

As of 19-Sep, NELCO Ltd's stock price is currently at 912.30, reflecting a slight increase of 0.35 (0.04%). The stock has been gaining momentum recently, with a consecutive gain over the last three days, resulting in a total return of 7.95% during this period. In the past week, NELCO has outperformed the Sensex, with a return of +6.95% compared to the benchmark's +0.88%. However, despite these short-term gains, the company faces significant challenges, including a poor long-term growth outlook, as evidenced by a -11.27% annual decline in operating profit over the last five years and negative results in the last two quarters. The stock's valuation appears expensive with a ROCE of 11.9 and a high enterprise value to capital employed ratio, which may deter long-term investors.
Broader market context indicates that while NELCO has shown positive short-term performance, it has underperformed the broader market over longer periods, with a year-to-date decline of -27.88% compared to the Sensex's +5.74%. This disparity highlights the stock's struggles despite recent gains. Additionally, the lack of domestic mutual fund investment, which stands at 0%, suggests a lack of confidence in the company's prospects, further impacting its market perception. Overall, while NELCO has experienced a brief uptick, the underlying financial difficulties and poor long-term performance continue to weigh heavily on its stock price.