Why is Panache Digilife falling/rising?

As of 14-Jul, Panache Digilife Ltd's stock price is currently at 225.75, reflecting an increase of 10.75 or 5.0%. The stock has shown strong performance today, outperforming its sector by 3.29%. In terms of returns, over the past month, the stock has risen by 28.41%, significantly outpacing the Sensex, which has only increased by 1.47%. The company has reported positive results for the last five consecutive quarters, with a higher profit after tax of Rs 5.88 Cr and record net sales of Rs 60.08 Cr. However, despite these positive indicators, the stock faces challenges due to weak long-term fundamental strength, evidenced by a low return on capital employed and a high debt to EBITDA ratio, which may temper investor enthusiasm.
In the broader market context, while Panache Digilife has outperformed the Sensex in the short term, it has a year-to-date return of -20.52%, contrasting sharply with the Sensex's gain of 6.08%. This discrepancy highlights the stock's volatility and the potential concerns investors may have regarding its long-term growth prospects. Despite the recent positive price movement, the overall weak long-term fundamentals could lead to caution among investors, impacting future price stability.