Why is Rama Phosphates falling/rising?

As of 23-Jul, Rama Phosphates Ltd is currently priced at Rs. 159.10, reflecting a decrease of Rs. 3.2 or 1.97%. The stock has recently hit a new 52-week high of Rs. 165.45 but has underperformed its sector by 1.93% today, marking a trend reversal after eight consecutive days of gains. Despite this decline, the stock has shown impressive performance over various periods, with a 1-week return of 11.06% and a year-to-date return of 65.60%. The company has demonstrated strong financial health, evidenced by a low Debt to EBITDA ratio of 0.87 times and significant growth in operating profit of 88.76%. However, concerns about long-term growth persist, as net sales and operating profit have only grown at annual rates of 10.65% and 12.59%, respectively, over the last five years.
In the broader market context, the stock's short-term performance has significantly outpaced the benchmark, with a 1-week return of 11.06% compared to the Sensex's mere 0.11%. This indicates that while the stock has been performing well recently, the current decline may be a natural correction after a strong rally. Additionally, the lack of domestic mutual fund investment, which stands at 0%, could reflect caution among institutional investors regarding the stock's valuation and growth prospects. Overall, while Rama Phosphates has shown strong returns and financial performance, the recent price drop may be attributed to profit-taking after a substantial rise and concerns about its long-term growth potential.