Why is Shalimar Wires falling/rising?

As of 15-Jul, Shalimar Wires Industries Ltd is currently priced at 20.40, reflecting an increase of 0.13 or 0.64%. The stock has shown a trend reversal by gaining after two consecutive days of decline. Despite this short-term uptick, it is trading below its moving averages across various time frames, indicating a generally bearish trend. Over the past week, the stock has underperformed with a return of -4.67%, while its performance over the last month shows a significant decline of -10.92%. However, the stock's delivery volume has increased substantially, suggesting rising investor participation. Positive factors include an attractive valuation with a low PEG ratio and significant profit growth over the past year, despite the stock's negative return of -16.77%. On the downside, the company has high debt levels and weak long-term growth, which could be contributing to investor caution.
In the broader market context, Shalimar Wires has underperformed the benchmark, with the Sensex showing a positive return of 1.79% over the last month while Shalimar Wires has declined by -10.92%. This stark contrast highlights the stock's struggles relative to the market. Additionally, the company's high debt-to-equity ratio and low return on equity signal potential long-term challenges, which may deter investors. The presence of pledged promoter shares further exacerbates the stock's vulnerability in a falling market, putting additional downward pressure on its price. Overall, while there are some positive indicators, the prevailing negative factors and broader market performance suggest that the stock's recent rise may not be sustainable.