Why is Shalimar Paints falling/rising?

As of 02-Sep, Shalimar Paints Ltd. is experiencing a price increase, currently at Rs 74.93, reflecting a rise of 3.32 (4.64%). The stock has shown a positive performance today, outperforming its sector by 5.57% and has gained consecutively over the last two days, with a total return of 4.94% during this period. It opened with a gain of 2% and reached an intraday high of Rs 75.2. However, despite this short-term gain, the stock has underperformed significantly over the longer term, with a year-to-date decline of 41.07% and a one-year return of -44.80%. The company faces challenges such as operating losses, a weak ability to service debt, and a high percentage of pledged promoter shares, which contribute to its risky trading environment.
In the broader market context, Shalimar Paints' short-term return of +1.07% over the past week contrasts with the Sensex, which has declined by 0.78% during the same period. This indicates that while the stock is currently gaining, it has consistently underperformed against the benchmark over the last three years, highlighting a persistent trend of weakness. The company's long-term growth prospects remain poor, with negative EBITDA and a significant increase in interest expenses, further complicating its financial outlook.