Why is Swaraj Engines falling/rising?

As of 16-Jul, Swaraj Engines Ltd is currently priced at Rs 4,591.00, reflecting a decrease of Rs 2.15 or 0.05%. The stock recently hit a new 52-week high of Rs 4,725.95, indicating strong performance, but it has experienced a slight decline after two consecutive days of gains. Over the past week, the stock has risen by 7.90%, and it has shown impressive returns of 62.73% over the last year, significantly outperforming the BSE500 index. The company has demonstrated high management efficiency with a return on equity (ROE) of 36.97% and has maintained a low debt-to-equity ratio. Positive financial results over the last five quarters, including record net sales and operating profit, further support the stock's upward trajectory, although it is currently trading at a premium compared to its peers.
In the broader market context, while Swaraj Engines has shown strong short-term performance, the benchmark Sensex has declined by 1.08% over the past week. The stock's liquidity is also favorable, with a significant increase in delivery volume, suggesting rising investor participation. However, the stock's valuation is considered expensive, with a price-to-book value of 13.3, which may raise concerns among investors. Despite the recent dip in price, the overall long-term growth prospects remain healthy, as evidenced by the company's consistent sales growth and positive quarterly results, positioning it well against the backdrop of a fluctuating market.