Why is Pondy Oxides falling/rising?

As of 29-Aug, Pondy Oxides & Chemicals Ltd is experiencing a decline in its stock price, currently at 1,050.70, which reflects a decrease of 36.05 or 3.32%. The stock has been underperforming, having fallen consecutively for the last three days, resulting in a total decline of 9.06% during this period. Today's trading saw the stock touch an intraday low of Rs 1044, and it has underperformed its sector by 2.87%. In the context of returns, the stock has seen a 4.09% decline over the past week and a 9.54% drop over the past month, although it has shown strong performance year-to-date with a 22.89% increase. Despite these positive long-term growth indicators, including a significant rise in operating profit and consistent positive results over the last five quarters, the stock's recent price movement suggests investor concerns, particularly regarding its high valuation relative to peers.
In the broader market context, the stock's short-term performance has been notably weaker than the benchmark, with the Sensex declining only 1.84% over the past week and 1.88% over the past month. This indicates that while the stock has historically outperformed the market in the long term, its recent struggles are more pronounced compared to the overall market trends. The decline in investor participation, as evidenced by a significant drop in delivery volume, further exacerbates the stock's current challenges. Overall, the combination of high valuation concerns and recent underperformance relative to both the sector and the benchmark contributes to the stock's downward trajectory.