Why is Valiant Organics falling/rising?

As of 25-Aug, Valiant Organics Ltd's stock price is currently at Rs 354.10, reflecting an increase of Rs 4.1 or 1.17%. The stock has shown a trend reversal, gaining after five consecutive days of decline. Despite this positive movement today, the stock has underperformed in the short term, with a 3.04% drop over the past week and a 6.57% decline over the past month. The company has reported strong financial results, including a significant growth in operating profit and net sales, which may contribute to the current price increase. However, the long-term outlook remains concerning due to a poor growth rate in operating profit over the last five years and a lack of domestic mutual fund investment, indicating potential investor hesitance.
In the broader market context, while Valiant Organics has outperformed its sector by 0.76% today, it has consistently underperformed against the benchmark Sensex over the past three years, generating a return of -10.51% in the last year compared to the benchmark's positive return. This persistent underperformance may weigh on investor sentiment despite today's gains. The stock's liquidity appears adequate for trading, but the significant drop in delivery volume suggests a decline in investor participation, which could hinder sustained upward momentum. Overall, while today's price increase may reflect positive short-term sentiment, the long-term challenges and historical underperformance against the benchmark remain critical factors influencing the stock's trajectory.