Why is Pudumjee Paper falling/rising?

As of 22-Sep, Pudumjee Paper Products Ltd is experiencing a price increase, currently at Rs 129.00, reflecting a rise of 2.3 (1.82%). The stock has shown positive momentum, gaining 2.63% over the last two days and outperforming its sector by 2.2% today. Despite a decline of 2.82% over the past month and a significant year-to-date drop of 28.03%, the stock has generated an 8.95% return over the past year, indicating some resilience. However, the company has faced challenges, such as a decline in profits by 8.8% despite consistent returns over the last three years and a low Debt to Equity ratio of 0.02, which suggests a fair valuation but also highlights concerns about long-term growth potential.
In the broader market context, Pudumjee Paper's short-term performance of +2.71% over the past week significantly outpaces the Sensex, which has only increased by 0.46% during the same period. This indicates that while the stock is currently gaining traction, it is still underperforming in the longer term compared to the benchmark, as evidenced by its year-to-date performance. The lack of domestic mutual fund investment, holding only 0% of the company, may reflect a cautious sentiment among institutional investors regarding the stock's valuation and growth prospects, which could impact its future performance.