Why is Pondy Oxides falling/rising?

As of 18-Sep, Pondy Oxides & Chemicals Ltd is experiencing a decline in its stock price, currently at Rs 1,284.40, reflecting a decrease of Rs 17.6 or 1.35%. The stock has underperformed its sector by 0.85% today and has been on a downward trend for the past two days, with a total decline of 1.37%. Despite this recent drop, the stock has shown strong performance over the longer term, with a 50.22% increase year-to-date and a remarkable 328.06% rise over the past three years. The company has demonstrated solid financial health, evidenced by a low Debt to EBITDA ratio of 0.86 times and consistent growth in operating profit, which has increased at an annual rate of 31.47%. However, the stock is trading at a premium compared to its peers, which may contribute to its recent price volatility. In the broader market context, the Sensex has gained 1.80% over the past week, contrasting with Pondy Oxides' slight decline of 0.25% during the same period. This indicates that while the overall market is experiencing upward momentum, Pondy Oxides is lagging behind. The stock's recent performance may also be influenced by its high valuation metrics, including a PEG ratio of 1.5, suggesting that it may be perceived as expensive relative to its earnings growth. Despite the recent downturn, the stock's long-term performance remains strong, having outperformed the BSE500 index over multiple time frames, which could attract investors looking for growth opportunities.