Why is VL E-Governance falling/rising?

As of 03-Jul, VL E-Governance & IT Solutions Ltd is experiencing a price increase, currently at Rs 57.39, reflecting a rise of 2.73 (4.99%). The stock has shown strong performance today, outperforming its sector by 5.19% and has gained 27.87% over the past week. It opened with a gain of 3.99% and reached an intraday high of Rs 57.39. However, despite this recent uptick, the stock has faced significant challenges, including a long-term decline in net sales and operating profit, which have decreased at annual rates of -79.50% and -123.70%, respectively. The company's weak ability to service its debt and negative EBITDA further contribute to its risky profile, despite a recent increase in investor participation.
In the broader market context, the stock's short-term return of +27.87% over the past week stands in stark contrast to the benchmark Sensex, which has declined by -0.62% during the same period. However, the stock has underperformed against the benchmark over the longer term, with a year-to-date return of -68.72% compared to the Sensex's +6.53%. This consistent underperformance, coupled with a decrease in institutional investor participation, highlights the ongoing challenges faced by VL E-Governance, despite its recent price increase.