Why is Sky Gold & Diam. falling/rising?

As of 04-Sep, Sky Gold & Diamonds Ltd is experiencing a decline in its stock price, currently at 281.40, which represents a decrease of 9.75 or 3.35%. Today's price summary indicates that the stock has underperformed its sector by 3.23% and has fallen after two consecutive days of gains. Although it opened with a gain of 2.16% and reached an intraday high of Rs 297.45, it also touched a low of Rs 279.25, suggesting volatility. The stock has shown a negative return of 4.79% over the past week and a significant decline of 28.19% year-to-date, despite a positive annual return of 3.29% over the past month. The company has demonstrated strong management efficiency and growth in net sales and operating profit, but the recent drop in investor participation, with a 31.09% decrease in delivery volume, may have contributed to the stock's current downward trend.
In the broader market context, the Sensex has increased by 0.80% over the past week, contrasting with Sky Gold & Diamonds Ltd's negative performance. This underperformance relative to the benchmark indicates a lack of investor confidence in the stock despite its healthy long-term growth metrics and attractive valuation compared to peers. The company's positive results over the last nine quarters and a high return on capital employed suggest potential for recovery, but the current trading below all moving averages and declining liquidity may hinder immediate price recovery.