Why is Sahyadri Industr falling/rising?

As of 12-Sep, Sahyadri Industries Ltd is experiencing a decline in its stock price, currently at Rs 271.75, which reflects a decrease of 8.45 points or 3.02%. Today's performance indicates that the stock has underperformed its sector by 2.96%, following a trend reversal after two consecutive days of gains. The stock reached an intraday low of Rs 271.75, and trading volumes suggest a lack of investor interest, with delivery volume dropping by 54.32% compared to the five-day average. Over the past year, the stock has generated a return of -22.66%, while profits have decreased by 25.3%, indicating ongoing challenges. Despite a high return on capital employed (ROCE) of 16.93% and a low debt-to-EBITDA ratio of 0.94, the company has shown poor long-term growth, with operating profit declining at an annual rate of -10.76% over the last five years.
In the broader market context, Sahyadri Industries has significantly underperformed against the benchmark, with a one-week return of -4.65% compared to the Sensex's gain of 1.48%. This trend of underperformance has been consistent, as the stock has lagged behind the BSE500 in each of the last three annual periods. While the stock is trading at a discount compared to its peers' average historical valuations, the persistent decline in profits and the flat results reported in June 2025 contribute to a negative outlook, leading to a lack of confidence among investors.