September hasn't been a great month so far for the AGL (ASX:AGL) share price

AGL has struggled in September. Here are the details.

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The AGL Energy Limited (ASX: AGL) share price is falling again in morning trade today, down 0.24% to $6.14.

It hasn't been a fantastic month for AGL shares as they continue to swim in the sea of red that is negative shareholder returns.

Whereas the S&P/ASX 200 index (ASX: XJO) has slipped 1.5% into the red since trading started in September, AGL shares have fallen 6%.

Let's dive in a little deeper to understand what's going on here.

man grimaces next to falling stock graph

Image source: Getty Images

AGL share price overview

AGL shares have struggled the entire time over the last 12 months. Back in September 2020 for instance, the AGL share price was at a high of $14.70. That means AGL's shares would have to climb back up 139% to reach those levels from where it trades now at $6.14.

Over the past 18 months, AGL shares have repeatedly set new all-time lows, breaching levels not seen on their chart for 19 years.

However, it has been over the past year that the AGL share price has really fared poorly. It has taken a significant nosedive, and barrel rolled to its current all-time low.

Looking at AGL's share price chart over the past 12 months, there are no periods of "reversal", or "rest" for that matter. It's just been one long continuous drive down south.

The drivers of this price action are centred on AGL's planned demerger into two separate entities, and the company's ongoing saga with climate risk management.

However, there have been a number of other setbacks in this regard, such as temporary closures at its Liddell coal-fired power station in New South Wales. The company recognised significant losses across the board in its FY21 earnings report.

AGL faces mounting pressure on climate change disclosures

AGL was recently slapped with an activist shareholder resolution ahead of its annual general meeting (AGM), scheduled on September 22.

The resolution was filed by the Australiasia Centre for Corporate Responsibility (ACCR). Specifically, the ACCR is unsatisfied with AGL's commitment to set "Paris-aligned emission reduction targets".

The ACCR then reiterated its posture on the matter in an investor briefing released last month.

Shareholder proxy adviser Institutional Shareholder Services (ISS) has now weighed in, and has shown its support for the resolution, according to reporting from The Australian.

As such, ISS has recommended that AGL shareholders vote to support the resolution at the company's upcoming AGM.

It said supporting the resolution "should not be unreasonable" seeing as AGL plans to let shareholders vote on climate change disclosures anyway, should the company successfully complete its planned demerger.

ISS is adamant the resolution will also increase transparency on the demerger, and allow shareholders to make an informed decision prior to their vote on the matter at AGL's AGM.

AGL share price snapshot

The AGL share price has had a horrendous year, posting a loss of nearly 50% since January 1.

It is also down 58% over the past 12 months, making AGL one of the ASX's worst performing shares in the past year. In the last month alone, AGL shares have fallen a further 17%.

Both of these results have lagged the S&P/ASX 200 index (ASX: XJO)'s return of around 25% over the last year.

The author Zach Bristow has no positions in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. 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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