Why is Rama Phosphates falling/rising?

As of 29-Jul, Rama Phosphates Ltd's stock price is rising, currently at Rs 161.60, reflecting an increase of Rs 3.15 or 1.99%. The stock has shown a trend reversal, gaining after two consecutive days of decline, and is trading higher than its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages. Despite underperforming its sector by 0.64% today, the stock is only 2.38% away from its 52-week high of Rs 165.45. Over the past month, the stock has performed well with a return of 22.01%, significantly outperforming the Sensex, which has declined by 3.24%. The company's strong financial performance, including a 205.33% growth in net profit and positive results for the last four consecutive quarters, supports its current price movement.
In the broader market context, while the stock has generated a remarkable return of 64.06% over the past year, the benchmark BSE500 has seen negative returns of -2.26%. This indicates that Rama Phosphates has been able to outperform the market significantly. However, there are concerns regarding long-term growth, as net sales have only grown at an annual rate of 12.01% over the last five years. Additionally, the lack of domestic mutual fund investment may suggest caution among institutional investors. Despite these risks, the company's strong ability to service debt and its favorable financial metrics contribute positively to its recent stock performance.