Why is Wheels India falling/rising?

As of 02-Jul, Wheels India Ltd. is currently priced at Rs 807.90, reflecting a decline of Rs 18.05 or 2.19%. The stock has recently experienced a trend reversal, falling after six consecutive days of gains. It has underperformed its sector by 2.96% today, with an intraday low of Rs 807.15. Despite this decline, the stock has shown positive performance over the past week and month, with returns of 5.01% and 8.41%, respectively. However, it has underperformed over the past year with a return of -9.60%. The company has reported positive results for the last five consecutive quarters, with a high return on capital employed (ROCE) of 16.30% and a low debt-equity ratio of 0.80 times, indicating a strong financial position. Nonetheless, the stock's high debt to EBITDA ratio of 3.42 times raises concerns about its ability to service debt, contributing to its recent price movement.
In the broader market context, while Wheels India has shown strong returns over the year-to-date period at 20.58%, it has lagged behind the benchmark Sensex, which has returned 6.75% in the same timeframe. The stock's recent decline may be attributed to falling investor participation, as evidenced by a 24.52% drop in delivery volume compared to the five-day average. This decline in trading activity, coupled with the stock's underperformance relative to the market over the past year, suggests that investor sentiment may be cautious despite the company's positive financial metrics. Overall, while the stock has attractive valuations compared to peers, its recent price movement reflects a combination of profit-taking after a rally and concerns regarding long-term growth and debt servicing capabilities.