Why is Purple Finance falling/rising?

As of 14-Jul, Purple Finance Ltd is experiencing a decline in its stock price, currently at Rs 41.28, reflecting a decrease of Rs 1.16 or 2.73%. The stock has underperformed its sector by 2.81% today and has fallen after two consecutive days of gains. It opened with a loss of 3.25%, reaching an intraday low of Rs 41.06. Additionally, the stock is trading below its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages, indicating a bearish trend. The recent performance shows a significant decline of 38.77% year-to-date and 47.41% over the past year, while the promoter holding has decreased to 50.24%. The company's operating losses and negative EBITDA further contribute to its weak long-term fundamental strength.
In the broader market context, Purple Finance's short-term performance has been notably worse than the benchmark, with a 1-week return of -4.02% compared to the Sensex's -1.42%. This underperformance is compounded by a significant drop in investor participation, as evidenced by a 33.56% decrease in delivery volume against the 5-day average. The company's negative financial indicators, including a drastic annual decline in operating profit and a poor return over the past year, suggest that the stock is trading at risky valuations. Overall, these factors contribute to a negative outlook for Purple Finance Ltd, reinforcing its status as a strong sell.