Why is Pakka falling/rising?

As of 26-Jun, Pakka Ltd's stock price is currently at Rs 215.00, reflecting a significant increase of Rs 27.55, or 14.7%. The stock has shown strong performance today, outperforming its sector by 14.36% and achieving a consecutive gain over the last two days with a total return of 16.82%. It reached an intraday high of Rs 218.85, indicating robust trading activity, although it has also experienced a wide trading range of Rs 30.3. Despite this positive movement, there are concerns regarding falling investor participation, as the delivery volume has decreased by 40.28% compared to the five-day average. The company exhibits high management efficiency with a return on capital employed (ROCE) of 20.49% and a low debt-to-EBITDA ratio of 1.01, suggesting a strong ability to service its debt. However, the stock has underperformed over the past year, generating a return of -15.79%, despite profits rising by 16.5%, which indicates a potential disconnect between market perception and company performance.
In the broader market context, Pakka Ltd's short-term return of 21.20% over the past month significantly outpaces the Sensex's return of 1.92%, highlighting its strong recent performance relative to the benchmark. However, the stock's year-to-date performance remains concerning, with a decline of 31.09% compared to the Sensex's gain of 7.19%. This underperformance over a longer horizon, coupled with the negative results reported for December 24, suggests that while the stock is currently rising, there are underlying issues that could affect its sustainability in the long term. The market's mixed sentiment, reflected in the stock's historical performance and current trading dynamics, indicates that investors may be cautiously optimistic but remain wary of the company's long-term growth prospects.