Why is Sinclairs Hotels falling/rising?

As of 14-Jul, Sinclairs Hotels Ltd is experiencing a decline in its stock price, currently at Rs 93.74, reflecting a decrease of Rs 1.64 or 1.72%. The stock has been underperforming, having fallen consecutively for the last three days, resulting in a total decline of 4.72% during this period. Additionally, the stock has shown a negative return of 2.35% over the past week and a significant drop of 23.70% year-to-date, indicating ongoing challenges. The company's financial performance has also been concerning, with a low growth rate in net sales and operating profit over the last five years, alongside negative results reported for March 2025, which included a 31.19% decline in profit before tax and a 28.9% drop in profit after tax. Furthermore, the stock is trading at a premium compared to its peers, contributing to its classification as a strong sell.
In the broader market context, while the Sensex has declined by 1.42% over the past week, Sinclairs Hotels has underperformed this benchmark, indicating a more significant weakness in its stock performance. The stock's liquidity appears adequate, with a delivery volume increase, yet the overall sentiment remains negative due to poor long-term growth prospects and recent financial results. The company’s return on equity is relatively low, and its valuation is considered expensive, which further dampens investor confidence. Overall, the combination of disappointing financial metrics and underperformance relative to the market contributes to the stock's current downward trajectory.