Why is Rainbow Foundat. falling/rising?

As of 25-Aug, Rainbow Foundations Ltd is experiencing a decline in its stock price, currently at Rs 107.70, reflecting a decrease of Rs 5.65 or 4.98%. The stock has been on a downward trend, having fallen consecutively for the past seven days, resulting in a total decline of 15.79% during this period. Today's performance indicates that it underperformed its sector by 5.76%, opening with a loss of 4.98% and reaching an intraday low of Rs 107.70. Despite a remarkable year-to-date return of 227.16% and a one-year return of 295.96%, the company's high debt levels and weak long-term fundamentals, including a low Return on Equity of 3.24% and a high Debt to Equity ratio of 5.42 times, are contributing to investor concerns and the stock's recent price drop.
In the broader market context, the stock's short-term performance has significantly lagged behind the benchmark, with a one-week return of -12.33% compared to the Sensex's modest gain of 0.45%. This stark contrast highlights the stock's struggles despite its impressive long-term performance over the past three years and one year, where it has outperformed the BSE500. The lack of domestic mutual fund investment, which stands at 0%, may indicate a lack of confidence in the company's valuation or business prospects, further exacerbating the stock's decline.