Why is Palco Metals Ltd falling/rising?

As of 09-Sep, Palco Metals Ltd is experiencing a decline in its stock price, currently at Rs 134.60, which reflects a decrease of Rs 2.8 or 2.04%. Today's price summary indicates that the stock has underperformed its sector by 2.14% and has fallen after four consecutive days of gains. The stock reached an intraday low of Rs 129, marking a significant drop of 6.11%. Additionally, the stock's performance over the past week shows a gain of 10.19%, but it has a troubling 1-month return of -25.03%. Factors contributing to this decline include a significant drop in delivery volume, which fell by 77.15% compared to the 5-day average, indicating reduced investor participation. While the company boasts high management efficiency and strong long-term growth metrics, it has also faced a 62.27% decline in profit after tax over the last six months and a 10.2% drop in net sales compared to the previous quarter.
Broader market context shows that while the Sensex has increased by 1.18% over the past week, Palco Metals Ltd's performance has lagged significantly, indicating a divergence from the broader market trends. The stock's year-to-date performance is particularly concerning, with a decline of 39.83% compared to a modest 3.79% gain in the Sensex. This underperformance, coupled with the company's recent financial struggles, suggests that investor sentiment may be shifting negatively, leading to the current price decline. Despite the attractive valuation and strong operational metrics, the recent financial downturns and falling investor participation are likely contributing to the stock's current downward trajectory.