Traders are betting on a big 2015 for Coca-Cola.
On Monday and Wednesday, traders made large purchases of the Coca-Cola 50-strike calls expiring in January 2016. Since a call represents the right to buy a stock for a given price at a given time, the buyers of these calls need Coca-Cola shares to rise above $50 by January 2016 in order for the options to pay off. That would represent a nearly 20 percent rally from current levels.
Shares of the beverage giant did not have a particularly good 2014. Coca-Cola stock rose only 4 percent over the course of the year, badly underperforming both the S&P 500 (which rose about 12 percent) and competitors like PepsiCo and Dr Pepper Snapple (which rose 14 percent and 47 percent, respectively).