Why is Rish.Digh.Steel falling/rising?

As of 24-Jun, Rishabh Digha Steel & Allied Products Ltd is experiencing a significant rise in its stock price, currently at Rs 54.78, reflecting an increase of 9.24 or 20.29%. The stock has shown strong performance recently, gaining 27.54% over the last two days and outperforming its sector by 19%. It is also close to its 52-week high, just 2.23% away from Rs 56. Despite the positive short-term performance, the company faces challenges, including operating losses and a weak ability to service its debt, as indicated by a poor EBIT to Interest ratio of -0.96. Additionally, the company reported a significant drop in PAT for the last quarter, falling by 81.8% compared to the previous four-quarter average, which raises concerns about its long-term fundamental strength.
In the broader market context, Rishabh Digha Steel has outperformed the benchmark Sensex significantly, with a 1-week return of 17.10% compared to the Sensex's 0.58%. Over the year, the stock has generated a return of 70.34%, while the Sensex has only increased by 6.10%. This strong performance relative to the market may attract more investor interest, contributing to the stock's upward movement. However, the company's negative EBITDA and reported losses indicate a risky investment, which could temper enthusiasm among potential investors despite the recent gains.