Why is Tata Elxsi falling/rising?

As of 12-Aug, Tata Elxsi Ltd. is experiencing a decline in its stock price, currently at 5,615.25, reflecting a decrease of 59.05 points or 1.04%. The stock has underperformed its sector by 1.32% today and has been on a downward trend for the past three days, resulting in a total loss of 4.74% during this period. Additionally, the stock has shown negative returns over various time frames, including a 5.77% decline over the past week and a significant 17.90% drop over the last year. The company's recent financial results have been disappointing, with a 21.6% fall in profit after tax and the lowest net sales recorded, contributing to a perception of an expensive valuation despite its strong long-term fundamentals and high institutional holdings.
In the broader market context, Tata Elxsi's performance has lagged behind the benchmark, with the Sensex showing a much smaller decline of 0.59% over the past week. The stock's consistent underperformance against the benchmark over the last three years, coupled with falling investor participation and liquidity concerns, further exacerbates its negative outlook. While the company maintains strong fundamentals with a solid return on equity and low debt levels, the recent financial setbacks and valuation concerns have overshadowed these strengths, leading to a bearish sentiment among investors.