Learn / What Is Earnings Season and Why Does It Move Stocks?
GuideWhat Is Earnings Season and Why Does It Move Stocks?
Four times a year, nearly every public company reports how it did. The weeks when most of them report are called earnings season, and it is one of the busiest times in the market.
When it happens
Earnings season usually kicks off a couple of weeks after each quarter ends, around January, April, July and October. Large banks tend to go first and big technology companies follow.
What gets reported
Companies share their sales, their profit and their earnings per share. They often also give guidance, which is a forecast for the coming quarter or year.
Why the stock can jump or drop
Analysts publish estimates before each report. A stock usually moves based on whether the real numbers beat or missed those estimates, and on what the company says about the future. A company can earn a record profit and still fall if investors hoped for more.
How to follow along
Look up the date of the next report for the stocks you follow. Reading a short plain English summary the same evening helps you see what mattered without sifting through the full report.
Get your stocks explained every day
Pick up to five stocks and read a free brief every trading day at 5 PM ET.
Start my free briefKeep learning
- Why Do Stocks Go Up and Down? Explained Like You're 5A simple explanation of why stock prices change every day, from supply and demand to earnings, news and interest rates.
- How to Read a Stock QuoteLearn what every number on a stock quote means, including price, change, volume, market cap, P/E ratio and the 52 week range.
- What Happens When the Stock Market Closes at 4 PM?Find out what the closing bell means, why prices matter at the close, and what after hours trading is, in plain English.
Educational information, not financial advice.
