Why is Sonata Software falling/rising?

As of 09-Sep, Sonata Software Ltd. has experienced a price increase, currently trading at Rs 369.00, reflecting a rise of 12.5 (3.51%). The stock has shown a positive trend today, outperforming its sector by 1.62% and reversing a three-day decline. It reached an intraday high of Rs 372.05, indicating strong intraday performance. Over the past week, the stock has gained 3.83%, and over the past month, it has risen by 7.63%. Despite this short-term recovery, the stock has faced significant challenges, with a year-to-date decline of 38.60% and a one-year drop of 44.12%. Positive factors contributing to the stock's recent movement include strong long-term fundamentals, such as an average Return on Equity (ROE) of 31.04% and healthy net sales growth of 22.63%. However, the stock's performance has been marred by a flat result in June and a decline in profits by 8.6% over the past year.
In the broader market context, Sonata Software's recent performance contrasts with the benchmark Sensex, which has gained 1.18% over the past week and 1.56% over the past month. While Sonata has outperformed the sector today, its long-term performance remains below par, with significant underperformance compared to the BSE500 over various time frames. The stock's liquidity is adequate for trading, but a notable decline in delivery volume suggests falling investor participation, which could impact future price movements. Overall, while the stock is experiencing a short-term rise, its long-term outlook remains uncertain due to previous poor performance and declining profits.