Why is VL E-Governance falling/rising?

As of 29-Aug, VL E-Governance & IT Solutions Ltd is experiencing a decline in its stock price, currently at Rs 33.90, reflecting a decrease of Rs 1.42 or 4.02%. The stock has been underperforming, having lost 10.03% over the last three days and showing a significant drop of 26.27% over the past month. Despite opening with a gain of 3.91% today and reaching an intraday high of Rs 36.7, it ultimately fell to its current price. The company's recent financial performance shows a substantial growth in net sales at 426.29% over the last six months, but it is overshadowed by long-term weaknesses, including a negative EBITDA and poor return on equity, which contribute to its perception as a strong sell.
In the broader market context, the stock has underperformed the benchmark Sensex, which has only declined by 1.84% over the past week compared to VL E-Governance's 8.08% drop. The stock's volatility today, with an intraday fluctuation of 5.61%, indicates investor uncertainty. Additionally, while there has been a notable increase in delivery volume, suggesting rising investor participation, the overall sentiment remains cautious due to the company's weak long-term fundamentals and poor growth metrics. This combination of factors has led to a negative outlook for the stock in both the short and long term.