So, when you're looking to prepare yourself to invest in a company post-earnings or you're just looking to make a trade based on earnings, you're going to need to do some homework first.
Jim Cramer has emphasized the importance of homework in his column over on Real Money and on TheStreet's daily Facebook Live show.
Invesco's Chief Global Market Strategist, Kristina Hooper, sat down with TheStreet to break down what homework she thinks investors need to do before they trade stocks during earnings season.
"Well, I think the most important thing, the most valuable thing investors can do is to listen in on the earnings calls. Certainly, you can glean a lot from balance sheets, from reviewing the financial statements, but the reality is so much is said on these calls. That's valuable, especially in terms of what to look for in the future and what the headwinds are that companies are anticipating," responded Cramer.