Why is Pudumjee Paper falling/rising?

As of 03-Sep, Pudumjee Paper Products Ltd is experiencing a decline in its stock price, currently at Rs 131.05, which reflects a decrease of Rs 1.9 or 1.43%. The stock has underperformed its sector today by 1.28% and has fallen after two consecutive days of gains. It touched an intraday low of Rs 129.5, indicating a drop of 2.59%. Over the past week, the stock has decreased by 4.24%, while it has shown a modest increase of 4.88% over the last month. Despite generating an 8.85% return over the past year, the company's profits have declined by 8.8%, which may contribute to investor concerns. Additionally, the stock is trading at a premium compared to its peers, and the falling investor participation, with a significant drop in delivery volume, suggests waning interest.
In the broader market context, the Sensex has only decreased by 0.27% over the past week, indicating that Pudumjee Paper's decline is more pronounced than the overall market trend. While the stock has outperformed the BSE500 in the long term, its recent performance contrasts sharply with the benchmark's stability. The company's low debt-to-equity ratio and fair valuation may not be sufficient to offset the negative sentiment stemming from flat results and poor long-term growth prospects, as evidenced by a 9.69% annual growth rate in net sales over the last five years. The lack of investment from domestic mutual funds further highlights potential concerns regarding the stock's attractiveness at current price levels.