Why is Nidhi Granites falling/rising?

As of 08-Sep, Nidhi Granites Ltd is experiencing a rise in its stock price, currently at Rs. 315.20, reflecting an increase of Rs. 6.15 or 1.99%. The stock has reached a new 52-week and all-time high today, and it has been on a positive trajectory, gaining 9.39% over the past week. The company has outperformed its sector by 2.29% today and has consistently traded above its moving averages across various time frames. Positive financial indicators include a high return on equity (ROE) of 22.06%, a low debt-to-equity ratio of 0.01, and impressive growth in net sales and operating profit. However, there are concerns regarding the valuation, as the stock is considered expensive with a price-to-book value of 17, and a significant portion of promoter shares (40.26%) are pledged, which could pose risks in a declining market.
In the broader market context, Nidhi Granites has significantly outperformed the benchmark Sensex, with a 1-week return of 9.39% compared to the Sensex's 0.53%, and a year-to-date return of 40.03% against the Sensex's 3.39%. This strong performance indicates that investor sentiment towards Nidhi Granites remains positive despite some underlying risks, such as high valuations and pledged shares. The stock's ability to generate consistent returns over the last three years further supports its upward movement, as it has outperformed the BSE500 in each of the last three annual periods.