Why is Softtech Enginee falling/rising?

As of 25-Jun, Softtech Engineers Ltd is experiencing a price increase, currently at 376.55, reflecting a rise of 7.2 or 1.95%. The stock has shown strong performance in the short term, with a 1-week return of 17.89% and a 1-month return of 3.29%, both significantly outperforming the Sensex, which returned 1.61% and 1.27% respectively. However, despite this recent uptick, the company faces substantial long-term challenges, including a weak CAGR growth of -8.33% in operating profits over the last five years and a low return on equity of 3.37%. The stock's valuation appears high compared to its peers, trading at a 3.1 Price to Book Value, which may deter long-term investors, as indicated by the absence of domestic mutual fund holdings.
Broader Market Context: The stock's recent performance contrasts sharply with its year-to-date return of -28.95%, while the Sensex has gained 5.91% during the same period. This disparity highlights the stock's volatility and potential investor concerns regarding its fundamentals. Although the stock has outperformed its sector today, the significant drop in delivery volume by 81.17% suggests declining investor participation, which could indicate a lack of confidence in sustaining this upward momentum. Overall, while the stock is rising in the short term, the broader market context and underlying financial weaknesses present a complex picture for potential investors.