Why is Sundaram Finance falling/rising?

As of 02-Jul, Sundaram Finance Ltd is experiencing a decline in its stock price, currently at Rs 5,075.50, which reflects a decrease of Rs 74.5 or 1.45%. The stock has been losing value for the last two days, with a total drop of 1.91% during this period. It opened the day with a loss of 2.52% and reached an intraday low of Rs 5,020.05. Despite this short-term decline, the stock has shown strong performance over the longer term, with a year-to-date increase of 22.15% and a three-year return of 182.45%. The company has strong fundamentals, evidenced by a high return on equity of 13.90%, and positive financial results, including the highest quarterly profit after tax and net sales recorded in March 2025. Additionally, high institutional holdings at 26.54% suggest confidence from more knowledgeable investors.
In the broader market context, Sundaram Finance's recent performance contrasts with the benchmark Sensex, which has gained 0.79% over the past week while the stock itself has increased by 3.12% in the same timeframe. However, over the last month, the stock has underperformed the Sensex, which rose by 2.50%, as Sundaram Finance saw a decline of 1.99%. This indicates that while the stock has had strong long-term returns, its recent short-term performance has been weaker compared to the market, contributing to the current price drop.