Why is Virat Industries falling/rising?

As of 27-Jun, Virat Industries Ltd is experiencing a price increase, currently at 499.95, with a change of 2.9, representing a rise of 0.58%. The stock opened with a significant gain of 5.74% today, reaching an intraday high of Rs 525.6. It is trading above its moving averages across various time frames, indicating strong momentum. Over the past week, the stock has outperformed the benchmark, with a return of 12.29% compared to the Sensex's 2.00%. Despite its impressive one-year return of 203.64%, there are concerns regarding its long-term fundamental strength, including a -29.80% CAGR growth in operating profits over the last five years and a low return on equity of 4.54%.
In the broader market context, Virat Industries' recent performance has been notably strong, especially in the short term, where it has significantly outpaced the Sensex. The stock's liquidity is also favorable, with a substantial increase in delivery volume, suggesting rising investor interest. However, the company's weak fundamentals and high valuation relative to its peers could pose risks to its continued upward movement. While the stock has shown remarkable returns, the underlying financial health raises questions about sustainability, which investors should consider when evaluating its future performance.