Why is Pondy Oxides falling/rising?

As of 05-Sep, Pondy Oxides & Chemicals Ltd is experiencing a significant rise in its stock price, currently at Rs 1,257.55, reflecting an increase of Rs 118.7 or 10.42%. The stock has reached a new 52-week high of Rs 1269.85 today and has outperformed its sector by 11.06%. Over the past week, the stock has shown a remarkable return of 19.69%, while its performance over the last month is also strong at 12.68%. The company has demonstrated healthy growth with a 54.45% increase in operating profit and has consistently declared positive results for the last five quarters, contributing to a year-to-date return of 47.08%, significantly outperforming the Sensex, which has only increased by 3.29%.
In the broader market context, Pondy Oxides' recent performance stands in stark contrast to the Sensex, which has only gained 1.13% over the past week. The stock's liquidity is favorable, with a notable increase in delivery volume, indicating rising investor participation. However, it is important to note that the stock is trading at a premium compared to its peers, with a high valuation reflected in its enterprise value to capital employed ratio. Despite this, the company's strong fundamentals, including a low debt to EBITDA ratio and consistent profit growth, suggest that the recent price movement is driven by positive investor sentiment and confidence in its long-term growth potential.