Why is VL E-Governance falling/rising?

As of 04-Jul, VL E-Governance & IT Solutions Ltd is experiencing a decline in its stock price, currently at 56.25, which reflects a decrease of 1.14 or 1.99%. The stock has underperformed its sector by 2.7% today, marking a trend reversal after five consecutive days of gains. Despite a recent short-term return of 19.10% over the past week, the stock has shown a significant decline of 11.33% over the past month and a staggering 69.34% year-to-date. The company's financial health appears weak, with operating losses and a negative EBITDA, compounded by a poor long-term growth outlook, as evidenced by a net sales decline of 79.50% over the last five years. Additionally, institutional investor participation has decreased, indicating a lack of confidence in the company's fundamentals.
In the broader market context, the stock's performance contrasts sharply with the benchmark, as the Sensex has gained 3.01% over the past month and 6.77% year-to-date. This consistent underperformance against the benchmark, alongside a negative EBIT to interest ratio of -4.19, highlights the challenges faced by VL E-Governance. The company’s recent financial results have also been disappointing, with a significant drop in profit after tax and the lowest recorded operating profit. Overall, the combination of weak fundamentals, declining institutional interest, and poor performance relative to the market contributes to the stock's current downward trajectory.