Why is Shanthi Gears falling/rising?

As of 31-Oct, Shanthi Gears Ltd. is experiencing a decline in its stock price, currently at 489.60, which reflects a decrease of 5.4 or 1.09%. The stock has been underperforming, having fallen consecutively for the last seven days, resulting in a total decline of 9.56% during this period. Additionally, it is trading below all its moving averages, indicating a bearish trend. The company has reported a low delivery volume, which has decreased by 50.34% compared to the five-day average, suggesting a lack of investor interest. Financially, the company has faced negative results, including a drop in profit after tax and a low inventory turnover ratio, which may contribute to the stock's poor performance. Despite a healthy long-term growth rate in operating profit, the stock's valuation appears expensive relative to its return on equity and price-to-book ratio, further impacting investor sentiment.
In the broader market context, Shanthi Gears has underperformed the benchmark Sensex, with a one-week return of -6.06% compared to the Sensex's -0.32%. Over the past year, the stock has generated a return of -12.26%, while the Sensex has increased by 5.73%, highlighting a significant disparity in performance. This underperformance is compounded by the fact that domestic mutual funds hold only a minimal stake in the company, which may indicate a lack of confidence in its current valuation or business prospects. Overall, the combination of negative financial indicators, declining investor participation, and poor relative performance against the benchmark contributes to the downward pressure on Shanthi Gears' stock price.