Why is Visa Steel falling/rising?

As of 03-Jul, Visa Steel Ltd's stock price is rising, currently at Rs 37.68, reflecting an increase of 1.79 (4.99%). The stock has shown strong performance recently, gaining 10.21% over the last two days and outperforming its sector by 5.41% today. It has consistently traded above its moving averages across various time frames, indicating positive momentum. Additionally, the stock has generated a notable return of 34.67% over the past year, outperforming the broader BSE500 index in both the short and long term. However, the company faces challenges such as a negative book value and high debt levels, which could impact its long-term growth potential.
In the broader market context, Visa Steel's short-term return of 10.82% over the past week significantly outpaces the Sensex, which has declined by 0.62% during the same period. This divergence suggests that investor sentiment towards Visa Steel remains strong despite underlying concerns regarding its financial health, such as negative operating profits and a high debt-to-equity ratio. The stock's recent gains may be driven by rising investor participation, as evidenced by a substantial increase in delivery volume, which indicates growing interest among traders. However, the high percentage of pledged promoter shares could pose risks in a declining market, potentially exerting downward pressure on the stock in the future.