Susquehanna options strategist Alison Edwards notes put buying activity in UPS (NYSE: UPS) ahead of tomorrow’s earnings report, as investors purchased 7k May 160 Puts, capturing exposure to ~11% downside at 5/21 expiration.

UPS earnings volatility may be viewed as somewhat “cheap” with the implied move of ~4.5% vs. 4Q/8Q avg moves of +/- 8.0%/7.2%.