Why is Shradha AI Tech falling/rising?

As of 25-Jul, Shradha AI Technologies Ltd is experiencing a decline in its stock price, currently at Rs 42.90, which represents a decrease of Rs 2.25 or 4.98%. Today's price movement indicates a trend reversal as the stock has fallen after three consecutive days of gains. Despite opening with a gain of 4.98% and reaching an intraday high of Rs 47.4, it has since dropped to its current price, reflecting a wide trading range of Rs 4.5. The stock has shown strong performance over the past week and month, with returns of 11.72% and 17.53%, respectively, although it has underperformed the sector today by 3%. The company has reported positive financial results, including a significant increase in net sales and operating profit, which supports its long-term growth potential. However, the stock is considered expensive based on its valuation metrics, which may be contributing to the recent price decline.
In the broader market context, Shradha AI Technologies Ltd has outperformed the benchmark index, Sensex, over the past year, generating a return of 21.08% compared to Sensex's 1.78%. However, the stock's year-to-date performance shows a decline of 22.70%, contrasting with the Sensex's increase of 4.25%. This disparity highlights the volatility and challenges faced by the stock despite its strong historical performance. Additionally, falling investor participation and a slight decrease in trading volume may indicate a lack of confidence among investors, further impacting the stock's price movement today.