Why is Sadhana Nitro falling/rising?

As of 02-Jul, Sadhana Nitro Chem Ltd is experiencing a decline in its stock price, currently at Rs. 8.17, which represents a decrease of 0.43 or 5.0%. The stock has hit a new 52-week low today and has been on a consecutive downward trend for the last 21 days, resulting in a significant drop of 61.08% over this period. Additionally, the stock has underperformed its sector by 4.11%. Despite a reported growth in net profit of 58.91% and a very attractive valuation with a PEG ratio of 0.5, the company's long-term fundamentals are weak, as indicated by a low average return on capital employed (ROCE) of 5.37% and a high debt-to-EBITDA ratio of 5.35 times. Furthermore, 52.67% of promoter shares are pledged, which adds downward pressure on the stock in a falling market.
In the broader market context, Sadhana Nitro's performance has been significantly worse than the benchmark, with a one-week return of -22.49% compared to a positive return of +0.79% for the Sensex. Over the past year, the stock has generated a return of -84.81%, while the Sensex has increased by 5.00%. This consistent underperformance against the benchmark over the last three years, coupled with the recent decline in stock price, indicates a lack of investor confidence and a challenging environment for the company, further exacerbated by the high proportion of pledged shares.