Why is Ruchi Infrastr. falling/rising?

As of 29-Aug, Ruchi Infrastructure Ltd's stock price is currently at 7.34, reflecting a decrease of 0.17, or 2.26%. The stock has been underperforming, having fallen consecutively over the last two days with a total decline of 3.29%. It is trading below its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages, indicating a bearish trend. Despite a significant growth in net profit of 291.82% reported in June, the stock has generated a staggering return of -55.33% over the past year, which suggests that the market is not fully valuing the company's improved profitability. Additionally, the recent decrease in promoter stake by 1.72% may signal reduced confidence in the company's future prospects, contributing to the stock's downward movement.
In the broader market context, Ruchi Infrastructure's short-term performance has been worse than the benchmark, with a 1-week return of -2.00% compared to the Sensex's -1.84%. This underperformance is consistent with the company's long-term struggles, as it has also lagged behind the BSE500 over the last three years and one year. The stock's weak long-term fundamental strength, characterized by a -7.04% CAGR growth in net sales and a high debt-to-EBITDA ratio of 4.60 times, further exacerbates investor concerns. Overall, the combination of poor recent performance, declining promoter confidence, and weak long-term fundamentals has led to a negative sentiment surrounding Ruchi Infrastructure Ltd's stock.