Why is Paisalo Digital falling/rising?

As of 01-Jul, Paisalo Digital Ltd's stock price is currently at 31.95, reflecting an increase of 0.41 or 1.3%. The stock has shown a positive performance today, outperforming its sector by 1.44%. However, despite this short-term gain, the stock has a concerning year-to-date return of -35.84% and a significant one-year decline of -58.00%. The stock is trading above its 5-day and 20-day moving averages but below its longer-term moving averages, indicating mixed signals regarding its price momentum. Additionally, there has been a notable decline in investor participation, with delivery volume dropping by 38.43% against the 5-day average. While the company has strong long-term fundamentals, including a 20.90% CAGR growth in operating profits and an attractive valuation, the high debt-equity ratio of 2.32 and the increasing proportion of pledged promoter shares add downward pressure on the stock.
In the broader market context, the stock has outperformed the Sensex over the past week and month, with returns of +5.13% and +4.62%, respectively, compared to the benchmark's +2.00% and +2.76%. However, the long-term performance remains troubling, as the stock has underperformed the BSE500 over the last three years, one year, and three months. This underperformance, combined with the high level of pledged shares and flat results in recent financial reports, suggests that while there may be short-term gains, the overall outlook for Paisalo Digital remains cautious amidst broader market conditions.