Why is Vedant Fashions falling/rising?

As of 08-Aug, Vedant Fashions Ltd is currently priced at Rs 737.00, reflecting an increase of Rs 4.45 or 0.61%. The stock has shown a trend reversal by gaining after three consecutive days of decline, and it outperformed its sector by 2.67% today. However, it remains close to its 52-week low, just 4.15% away from Rs 706.45. Despite this short-term gain, the stock has underperformed significantly over longer periods, with a year-to-date decline of 42.49% and a one-year return of -34.26%. The company has a high management efficiency with a return on equity (ROE) of 30.19% and low debt levels, but it faces challenges such as poor long-term growth and a high valuation compared to peers, which may contribute to investor caution.
In the broader market context, Vedant Fashions has outperformed the benchmark Sensex in the short term, with a 1-week return of -0.53% compared to the Sensex's -0.92%. However, the stock's long-term performance has been disappointing, consistently underperforming against the benchmark over the last three years. The company's net sales growth has been modest at an annual rate of 6.75%, and its operating profit growth is even lower at 0.93% over the past five years. This combination of high valuation, flat financial results, and significant underperformance against the market suggests that while there may be short-term gains, the long-term outlook remains challenging for Vedant Fashions.