Why is Shah Metacorp falling/rising?

As of 24-Sep, Shah Metacorp Ltd's stock price is currently at 3.72, reflecting an increase of 0.16 or 4.49%. The stock has shown a strong performance today, outperforming its sector by 4.62%. Additionally, it is trading above its 20-day, 50-day, 100-day, and 200-day moving averages, although it is below its 5-day moving average. The stock has also experienced a significant rise in investor participation, with delivery volume increasing by 212.56% compared to the 5-day average. Despite a year-to-date decline of 16.40% and a one-year drop of 27.20%, the stock's profits have risen by 126.4%, indicating a potential for recovery. However, it is important to note that the company has a weak long-term fundamental strength, with a low average Return on Capital Employed (ROCE) and a high Debt to EBITDA ratio, which could be contributing to investor caution.
In the broader market context, Shah Metacorp's short-term performance has been relatively better than the benchmark, with a 1-month return of 16.25% compared to the Sensex's 0.50%. However, over the past year, the stock has underperformed significantly against the market, which saw a decline of only 3.77%. This disparity highlights the challenges faced by Shah Metacorp, as it struggles with poor long-term growth and flat quarterly results, despite attractive valuation metrics and a favorable PEG ratio. The overall market sentiment appears to be cautious, particularly given the company's recent financial performance and its inability to service debt effectively.