Why is Regency Ceramics falling/rising?

As of 25-Sep, Regency Ceramics Ltd's stock price is rising, currently at Rs 43.80, reflecting an increase of Rs 2.56 or 6.21%. The stock has shown a trend reversal, gaining after two consecutive days of decline, and opened with a gap up of 2.57% today. Despite its recent performance, the stock has underperformed over the past month and year, with returns of -9.50% and -47.32%, respectively. However, positive results in net sales and profit after tax for the latest six months, alongside a significant increase in delivery volume, suggest a potential recovery. The company has a negative book value and high debt, indicating weak long-term fundamentals, which may temper investor enthusiasm despite recent gains.
In the broader market context, Regency Ceramics has outperformed its sector today by 7.63%, while the benchmark Sensex has declined by 2.23% over the past week. The stock's performance contrasts sharply with its year-to-date return of -20.23% compared to the Sensex's positive return of 3.87%. This underperformance highlights the stock's volatility and the risks associated with its high debt and negative EBITDA, which could deter long-term investors. Overall, while the stock is experiencing a short-term rise, its long-term outlook remains uncertain due to fundamental weaknesses.