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Telefonica Climbs on Report; SolarCity Shines; Weyerhauser Lumbers Ahead

Dan Berman
Hot Stock Minute
Telefonica Climbs on Report; SolarCity Shines; Weyerhauser Lumbers Ahead

First this morning is Spanish telecom giant Telefonica, which is up more than 3.5% in early trading. A Spanish newspaper is reporting that AT&T (T) has put in a $93-billion bid to take over the company. Telefonica is denying the report. No comment so far from AT&T. The gains this morning push Telefonica stock just above the price where they started the year, around $13.75 a share.

Next up is Weyerhaeuser (WY) which made a number of announcements over the weekend. The lumber giant says it has signed a deal to buy Longview Timber for more than $2.5-billion dollars from Brookfield Asset Management. In a separate release, the company said it's exploring a merger, sale, or spin-off of its real estate company. And finally, the company board has named Doyle Simons to replace the retiring Dan Fulton as CEO in August. Weyerhaeuser is down about 3%. But shareholders don't have much reason to complain. Thanks to gains in 2012, the stock is up 35% over the past year.

Now SolarCity (SCTY), which is trading higher again this morning after posting a 6.6% climb on Friday. For the uninitiated, SolarCity like Tesla (TSLA) is a pet project of Elon Musk. On Friday, Credit Suisse upgraded the stock to outperform from neutral. SolarCity has in fact been dubbed an "Elon Musk trade" as it bucks the broader markets. Year-to-date SolarCity's shares are up 194%. That's beats even Tesla which is up 184% in the same time.

Finally, Discover Financial Services (DFS), which is set to report earnings sometime today. Analysts expect the company to post profits of $1.14 a share up from $1.oo a year ago on sales just topping $2-billion. Last week Oppenheimer labeled Discover an outperform saying the company has managed to diversify its lending during a period of slow credit card growth. Discover is now up 20% year-to-date. It has climbed an impressive 44% over the past year.