Why is Tilaknagar Inds. falling/rising?

As of 16-Sep, Tilaknagar Industries Ltd is experiencing a price increase, currently at 480.20, reflecting a rise of 15.85 or 3.41%. Today's price summary indicates that the stock has outperformed its sector by 3.61% and has shown a trend reversal after two consecutive days of decline. The stock reached an intraday high of Rs 486.85, although it is trading below the 20-day moving average. Despite a decrease in delivery volume by 1.09% against the 5-day average, the stock remains liquid enough for trading. Over the past year, Tilaknagar has generated a substantial return of 50.70%, significantly outperforming the BSE500 index, and has shown consistent growth in operating profit and net profit, which has positively influenced its recent price movement. However, the stock's valuation is considered expensive, with a high Price to Book Value and a notable percentage of promoter shares pledged, which could pose risks in a declining market.
In the broader market context, Tilaknagar's short-term return of +1.90% over the past week exceeds the Sensex's return of +1.58%, indicating a stronger performance relative to the benchmark. While the stock has faced some challenges, such as falling investor participation and high valuation concerns, its long-term growth prospects and consistent positive results over the last five quarters have contributed to its current upward price movement. The stock's ability to generate significant returns over the last three years further supports its resilience in the market, despite the risks associated with pledged shares.