Why is Waaree Energies falling/rising?

As of 17-Jul, Waaree Energies Ltd is experiencing a decline in its stock price, currently at Rs 3,207.20, which reflects a decrease of Rs 81.1 or 2.47%. Today's performance indicates that the stock has underperformed its sector by 1.69% and has fallen after three consecutive days of gains. The stock touched an intraday low of Rs 3,200.8, marking a decline of 2.66%. Despite this drop, Waaree Energies has shown positive performance over the past week with a return of 1.17% and a notable increase of 14.98% over the past month. The company has demonstrated strong long-term fundamentals, with a healthy average return on equity of 23.17% and significant growth in net sales and operating profit. However, the stock's valuation is considered expensive, with a price-to-book value of 22.5, which may be contributing to the current price decline.
In the broader market context, while Waaree Energies has outperformed the Sensex over the past month and year-to-date, the recent underperformance today suggests a temporary setback amidst a generally positive trend. The Sensex has shown a slight decline of 1.12% over the past week, while Waaree Energies has managed to achieve a positive return. The increase in institutional investor participation, with a 2.38% rise in their stake, indicates confidence in the company's long-term prospects, which may help stabilize the stock in the future. However, the combination of high valuation and recent price movements may be causing some investors to reassess their positions, contributing to the current decline.