Over the last three years, the local production arm of Coca Cola has almost halved in share price.  Coca-Cola Amatil (CCL) touched lows close to $8.00 just two months ago, and has bounced by more than 20% since. The half year result announced last week added to the impetus, pushing CCL to its 2016 high. Is it too late to buy?

The short answer is no. CCL’s investment profile is evolving. Formerly an ex-growth market incumbent, it might now be viewed as a superior growth exposure to near neighbour Indonesia. This potential change in earnings profile could have profound implications for the share price.

Now take a look at the longer term, weekly chart. Judged by share price history, CCL may have a lot further to run. Chartists may get excited about the break of resistance at $9.50, with $11.00 the next major overhead. A reconnection with that higher trading zone may eventually see CCL heading back towards the highs, especially if there is a pick-up in local consumer activity as well as increasing regional penetration.