Why is Niva Bupa Health falling/rising?

As of 11-Jul, Niva Bupa Health Insurance Company Ltd's stock price is currently at Rs 88.54, reflecting a decrease of Rs 1.82, or 2.01%. The stock has underperformed its sector today by 1.09% and has experienced a trend reversal, falling after two consecutive days of gains. It touched an intraday low of Rs 88, which is a decline of 2.61%. Despite this drop, the stock has shown positive performance over the past week and month, with returns of 4.12% and 7.13%, respectively. The company has demonstrated strong long-term fundamental strength, with a remarkable 160.87% CAGR growth in operating profits and a significant increase in net sales and profits, which may support its valuation despite the current price decline.
In the broader market context, while Niva Bupa's stock has seen a decline today, it has outperformed the Sensex over the past week and month, which saw declines of 1.12% and a flat performance, respectively. The stock's liquidity remains adequate for trading, and rising investor participation indicates continued interest despite the recent price drop. However, the stock's high valuation, indicated by a Price to Book Value of 7.9 and a return on equity of 10.4%, raises concerns about its sustainability in the face of recent profit growth. Overall, while the stock has strong fundamentals, the current price movement reflects a combination of short-term volatility and valuation concerns.