diff --git a/moto/core/models.py b/moto/core/models.py
index c0ae85eb9..197670278 100644
--- a/moto/core/models.py
+++ b/moto/core/models.py
@@ -173,7 +173,7 @@ class BaseMockAWS:
                 # Special case for UnitTests-class
                 is_test_method = attr.startswith(unittest.TestLoader.testMethodPrefix)
                 should_reset = False
-                if attr == "setUp":
+                if attr in ["setUp", "setup_method"]:
                     should_reset = True
                 elif not has_setup_method and is_test_method:
                     should_reset = True
diff --git a/tests/test_core/test_decorator_calls.py b/tests/test_core/test_decorator_calls.py
index 0190a44f1..2e202f364 100644
--- a/tests/test_core/test_decorator_calls.py
+++ b/tests/test_core/test_decorator_calls.py
@@ -5,7 +5,7 @@ import sure  # noqa # pylint: disable=unused-import
 import unittest
 
 from botocore.exceptions import ClientError
-from moto import mock_ec2, mock_s3, settings
+from moto import mock_ec2, mock_kinesis, mock_s3, settings
 from unittest import SkipTest
 
 """
@@ -159,6 +159,25 @@ class TestWithSetupMethod:
             s3.head_bucket(Bucket="unknown_bucket")
 
 
+@mock_kinesis
+class TestKinesisUsingSetupMethod:
+    def setup_method(self, *args):
+        self.stream_name = "test_stream"
+        self.boto3_kinesis_client = boto3.client("kinesis", region_name="us-east-1")
+        self.boto3_kinesis_client.create_stream(
+            StreamName=self.stream_name, ShardCount=1
+        )
+
+    def test_stream_creation(self):
+        pass
+
+    def test_stream_recreation(self):
+        # The setup-method will run again for this test
+        # The fact that it passes, means the state was reset
+        # Otherwise it would complain about a stream already existing
+        pass
+
+
 @mock_s3
 class TestWithInvalidSetupMethod:
     def setupmethod(self):