Why is Vishal Mega Mart falling/rising?

As of 04-Aug, Vishal Mega Mart Ltd is experiencing a price increase, currently at Rs 141.70, reflecting a rise of 0.63 (0.45%). The stock has shown strong performance recently, gaining 6.7% over the past week and 9.59% over the last month, significantly outperforming the Sensex, which has declined by 2.89% in the same period. The stock is also trading above its moving averages, indicating positive momentum. However, there are concerns regarding falling investor participation, as the delivery volume has decreased by 42.43% compared to the five-day average. Additionally, while the company has a strong ability to service debt and healthy long-term growth in net sales and operating profit, the recent decrease in promoter stake by 20.33% raises questions about future confidence in the business.
In the broader market context, Vishal Mega Mart's short-term return of 6.7% over the past week stands in stark contrast to the Sensex's modest gain of only 0.16%. This indicates that the stock is not only performing well relative to its own historical performance but also significantly better than the overall market. Despite the positive short-term performance, the flat results reported in March and the high valuation metrics, such as a 9.2 enterprise value to capital employed, suggest caution. The mixed signals from promoter confidence and the declining delivery volume could impact future investor sentiment, even as the stock currently enjoys a positive trajectory.