The AGL Energy Limited (ASX: AGL) share price has climbed off a 52-week low today in a positive start to the new year.
At the time of writing, the AGL share price is trading up 1.26% at $12.10.
Why was the AGL share price at a 52-week low?
Shares in the Aussie energy generator and retailer finished 2020 at a 52-week (and 5-year) low of $11.95 per share.
That sharp share price move came after a serious injury at the company’s Liddell power station on 18 December.
All of these events combined to send the AGL Energy share price tumbling to close out the year at a 52-week low.
That trend has reversed this morning with shares in the energy group climbing higher.
There’s been no new announcement since the earnings guidance on 21 December to trigger a share price move.
However, broader market confidence could be a factor in today’s share price climbs. The S&P/ASX 200 Index (ASX: XJO) has started the year strongly, climbing 1.2% higher to 6,667 points.
Fortescue shares have jumped 3.4% in early trade while the Wesfarmers share price is up 1.6% at $51.20 per share.
What about the other ASX energy shares?
2020 was a tough year for the AGL share price and the company’s shareholders. However, it was a similar story for many of the ASX energy shares given a slump in oil prices amid the coronavirus pandemic.
AGL’s largest ASX-listed competitor, Origin Energy Ltd (ASX: ORG), also struggled to make gains.
The Origin share price fell 44% last year and closed out 2020 with an $8.4 billion market capitalisation.
Origin shares are currently trading at a price to earnings (P/E) ratio of more than 100 while the AGL share price is trading at a 7.7 P/E ratio.
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Motley Fool contributor Ken Hall has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of Wesfarmers Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.
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