Why is Paras Defence falling/rising?

As of 04-Jul, Paras Defence and Space Technologies Ltd is experiencing a significant rise in its stock price, currently at Rs 933.50, reflecting an increase of 84.85 or 10.0%. The stock has shown strong performance recently, gaining 16.25% over the last four days and outperforming its sector by 9.65% today. It is also close to its 52-week high, just 4.1% away from Rs 971.8. In terms of returns, the stock has outperformed the Sensex over various periods, including a 14.55% increase over the past week and an impressive 85.76% year-to-date. The company's positive financial results, including a 49.78% growth in net profit and consistent positive quarterly results, contribute to its favorable market perception. However, it is trading at a premium compared to its peers, which may raise concerns about its valuation.
In the broader market context, while the Sensex has seen a slight decline of 0.74% over the past week, Paras Defence's strong performance stands out, highlighting its resilience and investor confidence. The stock's liquidity is also favorable, with a notable increase in delivery volume, indicating rising investor participation. Overall, the combination of solid financial performance, positive market sentiment, and a strong track record of returns relative to the benchmark suggests that the stock's recent rise is driven by both company-specific strengths and favorable market conditions.