Why is Organic Coatings falling/rising?

As of 03-Jul, Organic Coatings Ltd is experiencing a price increase, currently at 16.61, reflecting a rise of 0.79 or 4.99%. The stock has shown strong performance recently, gaining 21.42% over the last four days and outperforming its sector by 5.67% today. In the past week, the stock has surged by 19.07%, while it has also outperformed the BSE500 over the last three years, one year, and three months, generating a return of 3.75% in the last year. However, the company faces challenges, including a high debt-to-equity ratio of 10.2 times, weak long-term growth, and negative EBITDA, which may contribute to investor caution despite the recent price rise.
Broader Market Context: In comparison to the benchmark, Organic Coatings has significantly outperformed the Sensex in the short term, with a 19.07% increase over the past week while the Sensex has declined by 0.62%. This strong short-term performance contrasts with the company's year-to-date return of -11.98%, which is underwhelming compared to the Sensex's gain of 6.53%. The stock's recent gains may be driven by short-term trading momentum rather than long-term fundamentals, as indicated by the falling investor participation and the reduction in promoter confidence, with a 17.83% decrease in their stake over the previous quarter.