Why is T N Petro Prod. falling/rising?

As of 12-Jun, Tamil Nadu Petro Products Ltd is experiencing a rise in its stock price, currently at Rs 95.90, reflecting an increase of Rs 3.72 or 4.04%. The stock has outperformed its sector by 3.55% today and has shown a consecutive gain over the last two days, with an overall return of 8.28% during this period. It has also been trading above its moving averages across various time frames, indicating positive momentum. However, despite these short-term gains, the company faces challenges such as poor long-term growth, with operating profit declining at an annual rate of -11.74% over the last five years and a significant drop in profits by -27.1% over the past year. The low debt-to-equity ratio is a positive aspect, but the overall valuation remains high compared to peers, which may deter some investors.
In the broader market context, Tamil Nadu Petro Products Ltd has significantly outperformed the Sensex in the short term, with a 1-week return of +8.98% compared to the benchmark's +0.31%. While the stock has shown strong short-term performance, the long-term outlook appears less favorable, as indicated by the flat results and low return on equity. Additionally, the minimal stake held by domestic mutual funds suggests a lack of confidence in the stock's valuation, which could impact its future performance. Overall, while the stock is rising in the short term, underlying financial challenges may limit its long-term growth potential.