Are stock returns based on market wide returns? When there is no new news released about the specific company, prices still rise or fall based on the market. When would a stock's trajectory diverge from that of the market?
A company's performance is attributable to a mix of economy-wide (global and national) factors, industry-specific factors, and company-specific factors. The broader factors are sometimes expressed as "a rising tide lifts all boats". Thus, individual stocks tend to have a significant (but far from perfect) correlation with the broad market, and a stronger correlation with their own sector/industry. News about a company primarily affects that company's stock but is also aggregated as part of industry and market-wide information.
Another perspective on what drives stocks to perform similarly or differently is the Fama-French model.