Why is NGL Fine Chem falling/rising?

As of 17-Jul, NGL Fine Chem Ltd's stock price is currently at 1,408.90, reflecting a decrease of 33.15 points or 2.3%. Today's price summary indicates that the stock underperformed its sector by 2.72% and has experienced a trend reversal after two consecutive days of gains. Although it opened with a gain of 3.86% and reached an intraday high of Rs 1,497.75, it also touched a low of Rs 1,390, suggesting significant volatility. Over the past week, the stock has shown a positive return of 6.33%, but it has underperformed the benchmark Sensex, which declined by 1.12%. The company's financial health is concerning, as it has reported a significant drop in profits, with a PAT growth of -91.86% and a PBT decline of -83.64%. Additionally, the stock's long-term growth prospects appear weak, with a return of -48.30% over the past year and a low ROCE of 8.37%.
In the broader market context, while NGL Fine Chem has outperformed the Sensex in the short term, its long-term performance has been disappointing, with consistent underperformance against the benchmark over the last three years. The stock's valuation is considered expensive relative to its peers, and the lack of domestic mutual fund investment may indicate a lack of confidence in the company's future prospects. Despite a recent increase in investor participation, the overall sentiment remains negative due to the company's poor financial results and declining profitability, contributing to the stock's current downward movement.