Why is Sri Ramakr. Mill falling/rising?

As of 04-Jul, Sri Ramakrishna Mills (Coimbatore) Ltd is experiencing a rise in its stock price, currently at Rs 61.79, reflecting an increase of 4.53 or 7.91%. Today's performance indicates that the stock has outperformed its sector by 7.09%, opening with a gain of 2.01% and reaching an intraday high of Rs 61.8. Over the past week, the stock has shown a significant return of +18.83%, while its performance over the last month has been even stronger at +35.83%. Despite a year-to-date decline of -6.79%, the stock's attractive valuation, with a return on capital employed (ROCE) of 22.3 and trading at a discount compared to peers, suggests a positive outlook. However, it is important to note that the company has faced challenges, including a 48.6% drop in profits over the past year and a high debt-to-equity ratio, which raises concerns about long-term growth potential.
In the broader market context, while Sri Ramakrishna Mills has outperformed the Sensex in the short term, which has seen a decline of -0.74% over the past week, the stock's year-to-date performance lags behind the benchmark's gain of +6.77%. The recent rise in stock price may be attributed to its strong short-term returns and attractive valuation metrics, despite the underlying issues of high debt and declining profits. The falling investor participation, indicated by a 23.33% drop in delivery volume, could pose a risk to sustained price increases. Overall, while the stock is currently rising, the mixed signals from its financial health and market performance suggest caution for potential investors.