Shares of the beverage giant have fizzled over the last 12 months, falling more than 7 percent as a growing number of consumers have ditched sugary drinks for a more health-conscious lifestyle. However, an improving technical backdrop combined with a hefty dividend leads Carter Worth of Cornerstone Macro to believe Coca-Cola could soon breakout.
On CNBC's "Options Action" Friday, Worth explained that the chart has "broken above the downtrend line, [and] ultimately [we're going to] get back to the high. That's a 10 percent move for Coke." In addition to the broken downtrend, Worth explained that with a dividend of more than 3 percent, Coke is more attractive than some of its peers.
"[The Consumer Staples sector] has started to come back to life and [is] actually outperforming the market." The sector is up nearly 5 percent in 2017 while the S&P is up just 4 percent. "I like it a lot. I think it's catching up with a group that's starting to outperform the market. Get long Coke."
Coca-Cola shares were trading at the $42 range during Monday's session.