Why is Shradha AI Tech falling/rising?

As of 17-Jul, Shradha AI Technologies Ltd is experiencing a price increase, currently at 38.25, reflecting a rise of 0.75 or 2.0%. The stock has shown strong performance recently, gaining 9.29% over the last three days and outperforming its sector by 1.83%. In terms of returns, the stock has increased by 4.74% over the past week and 4.25% over the past month, while it has generated a notable return of 11.26% over the last year, significantly higher than the market average. Additionally, the company has a low debt-to-equity ratio and has demonstrated healthy long-term growth with an annual operating profit increase of 30.07%. However, concerns about its valuation persist, as indicated by a high price-to-book ratio and reliance on non-operating income.
Broader Market Context: The stock's recent performance contrasts sharply with the benchmark, as the Sensex has declined by 1.12% over the past week and increased only 0.83% over the past month. This indicates that Shradha AI Technologies Ltd is not only performing well in isolation but is also gaining traction against a backdrop of broader market weakness. The stock's liquidity is adequate, with a delivery volume increase of 54.63% against the five-day average, suggesting rising investor interest. Despite the positive short-term trends, the company faces challenges related to its valuation and reliance on non-operating income, which could impact future performance.