Why is Transwar.Fin. falling/rising?

As of 24-Jun, Transwarranty Finance Ltd's stock price is currently at 17.10, reflecting an increase of 0.71 or 4.33%. The stock has shown a positive trend recently, gaining 9.4% over the last three days and outperforming its sector by 3.41% today. However, despite these short-term gains, the stock has a troubling long-term outlook, with a year-to-date decline of 22.73% and a one-year drop of 25.88%. The company's financial health is concerning, as indicated by a low return on equity of 0.53% and significant losses reported in the latest quarter, which have contributed to its expensive valuation compared to peers. Additionally, there has been a notable decline in investor participation, with delivery volume falling by 80.76% against the five-day average.
In the broader market context, Transwarranty Finance Ltd has outperformed the Sensex in the short term, with a one-week return of 6.67% compared to the benchmark's 0.58%. However, the stock has underperformed significantly over the past year, where the Sensex has gained 6.10% while the stock has lost 25.88%. This stark contrast highlights the stock's struggles despite recent positive movements, suggesting that while there may be short-term optimism, the long-term fundamentals remain weak, leading to a cautious outlook among investors.