Why is Shilchar Tech falling/rising?

As of 11-Jul, Shilchar Technologies Ltd's stock price is currently at 5,442.15, reflecting a decline of 131.5 points or 2.36%. The stock has been underperforming, having fallen for the last four consecutive days, resulting in a total decline of 4.21% during this period. Today's performance indicates that it underperformed its sector by 0.48%, with an intraday low of Rs 5,351, which represents a 3.99% drop. Despite a strong long-term growth trajectory, including a 32.18% return over the past year, the stock's recent movement may be influenced by its high valuation metrics, such as a Price to Book Value of 18, which suggests it is trading at a premium compared to its peers.
In the broader market context, Shilchar Technologies' short-term performance contrasts with the benchmark Sensex, which has only declined by 1.12% over the past week. While the stock has shown consistent returns over the long term, outperforming the BSE500 in the last three annual periods, the recent decline may be attributed to a lack of confidence from domestic mutual funds, which hold no stake in the company. This lack of institutional support could indicate concerns about the stock's current valuation despite its strong financial performance, including a significant growth in net profit and sales.