Why is NLC India falling/rising?

As of 29-Jul, NLC India Ltd. is experiencing a price increase, currently at Rs 240.00, reflecting a rise of 5.6 or 2.39%. The stock has shown a trend reversal, gaining after two consecutive days of decline. It outperformed its sector by 1.41% today and reached an intraday high of Rs 240. Despite a recent drop in investor participation, with delivery volume falling by 55.68% against the 5-day average, the stock remains liquid enough for trading. Over the past month, NLC India has generated a return of +5.03%, contrasting with a -0.50% return over the past week, while its year-to-date performance shows a decline of -4.57%. Positive factors contributing to the stock's rise include significant growth in profit after tax and net sales, as well as an attractive valuation compared to peers. However, the company faces challenges with a high Debt to EBITDA ratio, indicating potential difficulties in servicing debt.
In the broader market context, NLC India's recent performance has been relatively strong compared to the benchmark, as it outperformed the Sensex, which declined by 1.03% over the past week. While the stock has underperformed the market over the past year with a return of -16.10%, its recent positive financial results and high institutional holdings suggest a potential for recovery. The company's ability to generate profits has improved, but concerns about long-term growth and debt servicing capabilities remain. Overall, the stock's recent upward movement can be attributed to a combination of positive financial indicators and a temporary rebound after a period of decline, despite underlying challenges.