Why is Prime Securities falling/rising?

As of 08-Jul, Prime Securities Ltd is currently priced at 289.45, reflecting a decrease of 2.55, or 0.87%. The stock has recently underperformed its sector by 0.82% and is experiencing a trend reversal after four consecutive days of gains. Despite this decline, the stock has shown strong performance over various periods, including a 12.65% increase over the past month and a remarkable 191.20% rise over the last three years. However, the company faces challenges, including weak long-term fundamental strength indicated by an average Return on Equity (ROE) of 12.73% and a concerning drop in net sales and profit after tax in the most recent quarter. Additionally, the falling investor participation, with a 15.29% decrease in delivery volume compared to the five-day average, may be contributing to the stock's current downward movement.
In the broader market context, Prime Securities has outperformed the benchmark Sensex over the past week, with a return of 4.97% compared to the Sensex's minimal increase of 0.02%. However, the stock's recent decline could be influenced by its expensive valuation, trading at a premium relative to its peers, and the flat results reported for March 2025. While the stock has generated a return of 17.57% over the past year, the significant drop in profits raises concerns about its sustainability. Overall, the combination of strong historical performance and current financial challenges is creating a complex environment for investors, leading to the stock's recent price decline.