Why is Vikas Ecotech falling/rising?

As of 31-Jul, Vikas Ecotech Ltd is experiencing a decline in its stock price, currently at 2.24, which reflects a decrease of 0.05 or 2.18%. The stock has underperformed its sector today by 1.12%, and it is trading below its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages. Additionally, there has been a significant drop in investor participation, with delivery volume falling by 59.45% compared to the 5-day average. Over the past week, the stock has decreased by 4.68%, and it has shown a substantial decline of 40.74% over the past year, indicating consistent underperformance against the benchmark. While the company reported positive growth in net sales and profit after tax for the nine-month period ending in March 2025, the long-term fundamental strength remains weak, with a negative CAGR growth in operating profits and a low return on equity, contributing to the stock's downward movement.
In the broader market context, Vikas Ecotech's short-term performance has been notably worse than the benchmark, with a 1-week decline of 4.68% compared to the Sensex's drop of only 1.22%. This consistent underperformance over the last three years, where the stock has generated negative returns while the benchmark has shown positive growth, highlights the challenges the company faces in attracting investor confidence. The stock's valuation appears expensive relative to its peers, and the company's ability to service its debt is concerning, further impacting its market perception. Overall, these factors contribute to the stock's current downward trajectory amidst a market that is not as adversely affected.