Why is Tanfac Inds. falling/rising?

As of 03-Jul, Tanfac Industries Ltd's stock price is currently at Rs 3,922.85, reflecting a decrease of Rs 55.15 or 1.39%. The stock has been underperforming recently, having fallen for the last two consecutive days with a total decline of 3.77%. Despite this short-term downturn, Tanfac has shown strong performance over longer periods, with a 1-week return of 15.52% and a 1-month return of 25.38%. The company has also reported impressive growth metrics, including a 40.92% annual increase in operating profit and a 73.71% return over the past year, which suggests a solid long-term outlook. However, the stock is considered expensive with a high Price to Book Value ratio, which may deter some investors.
In the broader market context, Tanfac's recent performance contrasts with the Sensex, which has seen a slight decline of 0.62% over the past week. While Tanfac has outperformed the benchmark significantly over the long term, the current underperformance in the short term may be influenced by its high valuation and low domestic mutual fund ownership, indicating potential caution among institutional investors. The stock's liquidity remains adequate, and rising investor participation could provide some support, but the recent price drop suggests that market sentiment may be weighing on the stock despite its strong fundamentals.