Why is Sar Auto Prod. falling/rising?

As of 24-Jul, Sar Auto Products Ltd's stock price is currently at Rs 1,740.00, reflecting an increase of Rs 65.0 or 3.88%. The stock has shown a strong performance today, outperforming its sector by 2.95% and has been on a consecutive gain for the last three days, accumulating a total return of 11.01% during this period. However, despite this recent uptick, the stock has a concerning long-term outlook, with a weak CAGR growth in operating profits of -4.85% over the past five years and a significant decline in net sales by -37.45% in the most recent quarter. Additionally, the company's ability to service its debt is weak, indicated by a poor EBIT to interest ratio of 0.46, which raises concerns about its financial health and profitability.
In the broader market context, while Sar Auto Products Ltd has outperformed the Sensex by 8.82% over the past week, it has underperformed over the longer term, with a year-to-date return of -8.42% compared to the Sensex's gain of 5.18%. This discrepancy highlights the stock's volatility and the challenges it faces in maintaining investor confidence, especially given that domestic mutual funds hold no stake in the company, suggesting a lack of comfort with its valuation or business prospects. Overall, while the stock is experiencing a short-term rise, the underlying fundamentals and long-term performance indicators present a more cautious outlook.