Why is Rane (Madras) falling/rising?

As of 19-Aug, Rane (Madras) Ltd's stock price is currently at 867.30, reflecting an increase of 27.3, or 3.25%. The stock has shown a strong performance today, outperforming its sector by 0.79% and achieving a consecutive gain over the last three days with an overall return of 8.83% during this period. It reached an intraday high of Rs 870, and its current price is above the 5-day, 20-day, 100-day, and 200-day moving averages, although it remains below the 50-day moving average. Despite a year-to-date return of only 0.27% and a significant decline of 19.75% over the past year, the company has demonstrated healthy long-term growth potential, with operating profit growing at an annual rate of 31.52%. Positive financial results from June, including the highest operating cash flow and profit-to-interest ratios, have contributed to the stock's recent upward movement.
Broader Market Context: In the short term, Rane (Madras) Ltd has outperformed the benchmark Sensex, which has only increased by 1.76% over the past week, while Rane's stock has risen by 8.30% in the same period. The auto ancillary sector has also seen gains of 2.45%, indicating a favorable environment for the stock. Additionally, rising investor participation, as evidenced by a significant increase in delivery volume, suggests growing interest in the stock. However, it is important to note that while the stock is currently liquid and trading at a discount compared to its peers, it has faced challenges with a substantial profit decline of 78.8% over the past year, which may temper long-term investor sentiment despite recent positive trends.