Why is Yarn Syndicate falling/rising?

As of 30-Jun, Yarn Syndicate Ltd's stock price is currently at 19.80, reflecting an increase of 0.8 or 4.21%. The stock has been on an upward trend, gaining for the last three days with a total return of 10.31% during this period. It has outperformed its sector by 1.82%. Despite a significant decline of 54.88% over the past year, recent positive financial results, including a higher profit after tax and record net sales, have contributed to a more favorable perception of the stock. However, concerns about its long-term fundamental strength, indicated by a low return on capital employed and a high debt to EBITDA ratio, may temper investor enthusiasm.
In the broader market context, Yarn Syndicate's short-term performance of 11.55% over the past week significantly outpaces the Sensex, which has only risen by 2.09% in the same timeframe. While the stock has shown strong short-term gains, it has underperformed the market over the last year, where the BSE 500 has generated returns of 3.95%. This contrast highlights the stock's volatility and the challenges it faces in regaining investor confidence despite recent positive developments.