Why is Waaree Energies falling/rising?

As of 31-Jul, Waaree Energies Ltd is experiencing a decline in its stock price, currently at Rs 2,992.70, which reflects a decrease of Rs 152.45 or 4.85%. The stock has underperformed its sector by 4.37% today and has been on a downward trend for the last two days, accumulating a total loss of 5.69%. It opened with a significant gap down of 3.59% and reached an intraday low of Rs 2,955, indicating a bearish sentiment among investors. Despite having strong long-term fundamentals, including a healthy growth rate in net sales and operating profit, the stock's recent performance has been negatively impacted by falling investor participation, as evidenced by a 9.42% drop in delivery volume compared to the five-day average.
In the broader market context, Waaree Energies has underperformed the Sensex, which has only declined by 1.22% over the past week. While the company has shown positive long-term growth indicators, such as a strong return on equity and increasing institutional investor participation, the current market sentiment appears to be weighing heavily on the stock. The valuation concerns, highlighted by a high price-to-book ratio, may also be contributing to the stock's recent struggles, as investors reassess their positions in light of the stock's stagnant returns over the past year.