Why is Syrma SGS Tech. falling/rising?

As of 26-Aug, Syrma SGS Technology Ltd is experiencing a decline in its stock price, currently at Rs 727.90, which reflects a decrease of Rs 23.15 or 3.08%. Today's price summary indicates that the stock underperformed its sector by 1.45% and opened with a loss of 2.48%. After three consecutive days of gains, the stock has reversed its trend, touching an intraday low of Rs 725. Despite this decline, the stock has shown strong performance over the past year, with a return of 68.95%, and has outperformed the benchmark Sensex in both the short and long term. Positive factors contributing to the stock's resilience include a low debt-to-equity ratio, significant growth in net sales and operating profit, and increasing participation from institutional investors, which collectively hold 15.49% of the company.
In the broader market context, the stock's recent performance contrasts with the Sensex, which has declined by 1.05% over the past week. While Syrma SGS Technology Ltd has shown a slight increase of 0.72% over the same period, the current drop indicates a temporary setback. The stock's liquidity remains healthy, and the rising delivery volume suggests ongoing interest from investors. However, the stock's valuation appears expensive relative to its return on capital employed, which may be a concern for some investors. Overall, while the company has demonstrated strong fundamentals and growth potential, the recent price drop reflects a market correction after a period of gains.