Why is Sonam falling/rising?

As of 22-Jul, Sonam Ltd's stock price is currently at 53.42, reflecting an increase of 0.28 or 0.53%. The stock is trading above its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages, indicating a positive price trend. Over the past week, Sonam has experienced a significant return of 7.53%, while its performance over the last month shows a remarkable increase of 19.99%. Positive factors contributing to this rise include a strong net sales growth of 45.6% in the recent quarter and increased promoter confidence, with promoters raising their stake by 0.86%. However, there are concerns regarding the stock's long-term fundamental strength, as indicated by a relatively low average Return on Capital Employed (ROCE) of 9.68%.
In the broader market context, Sonam's recent performance stands in stark contrast to the Sensex, which has seen a decline of 0.54% over the past week. This suggests that Sonam is outperforming the benchmark significantly in the short term. While the stock has generated a modest return of 3.57% over the past year, it has outperformed the BSE500 over the last three years, one year, and three months, further highlighting its strong market position. Despite the positive short-term performance, the stock's year-to-date return of -19.73% indicates that it has faced challenges earlier in the year, which investors should consider when evaluating its future potential.