Why is Redington falling/rising?

As of 27-Jun, Redington Ltd's stock price is rising, currently at 320.95, reflecting an increase of 23.7 or 7.97%. The stock has reached a new 52-week high of Rs. 329.75 today, outperforming its sector by 3.41%. Over the past week, Redington has gained 9.67%, and in the last month, it has risen by 22.85%. The company has demonstrated strong long-term fundamental strength, with a compound annual growth rate (CAGR) of 15.86% in operating profits and a low debt to EBITDA ratio of 0.41 times, indicating a solid ability to manage debt. However, there are concerns due to a flat performance in March 2025, where the profit after tax fell significantly, and a relatively high valuation compared to peers, which could pose risks to future growth.
In the broader market context, Redington's recent performance has significantly outpaced the benchmark, with a year-to-date return of 60.60% compared to the Sensex's 7.58%. This strong performance is supported by high institutional holdings at 78.49%, which have increased over the previous quarter, suggesting confidence from larger investors. Additionally, the IT - Hardware sector has gained 4.35%, contributing to the positive sentiment around Redington. Despite some negative factors, such as a decline in profits over the past year, the overall market conditions and the company's strong fundamentals have led to a favorable outlook, driving the stock's price upward.