Why is Shanti Overseas falling/rising?

As of 17-Jul, Shanti Overseas (India) Ltd is experiencing a price increase, currently at 13.89, with a change of 0.66, representing a 4.99% rise. The stock has outperformed its sector by 5.25% today and is trading higher than its 5-day moving averages, although it remains below its 20-day, 50-day, 100-day, and 200-day moving averages. Over the past week, the stock has shown a significant return of +16.92%, contrasting sharply with the Sensex, which has declined by 0.96%. Despite this short-term gain, the stock has faced challenges, including a -27.16% return over the past month and a concerning -53.31% decline over the last three years. Positive factors contributing to the recent price movement include higher net sales and quarterly profits, while negative factors such as weak long-term fundamentals, a significant drop in operating profits, and decreasing promoter confidence weigh heavily on the stock's outlook.
In the broader market context, Shanti Overseas has struggled to keep pace with the benchmark, consistently underperforming against the BSE500 over the last three years. While the stock has shown a short-term recovery, its long-term performance remains troubling, with a -11.25% return over the past year compared to the Sensex's +2.03%. The company's ability to generate returns has been hindered by a negative EBITDA and a poor EBIT to Interest ratio, indicating financial instability. The reduction in promoter stake further reflects a lack of confidence in the company's future, which could impact investor sentiment moving forward.