The Federal Way, Wash., company reported Friday that, before one-time items, it lost 59 cents per share. Analysts polled by Thomson Reuters expected, on average, an adjusted loss of 71 cents per share.

Weyerhaeuser's second-quarter also beat the previous quarter's adjusted results of a loss of $1.25.

In addition, the company forecast earnings growth for its pulp and wood products segments in the third quarter.

Longbow analyst Joshua Zaret on Monday noted the improvements in a client note and added that Weyerhaeuser "has a strong balance sheet ... which we believe should see it through this downturn despite a cash burn" and that it has done well at cutting costs.

He reduced his estimate of what Weyerhaeuser will lose this year to $2.20 from $2.25 and the amount it will lose next year to 55 cents from 85 cents.

Analysts expect the company to lose $2.37 this year and 81 cents per share next year.

However, Zaret kept his "Neutral" stock rating because of a lack of a "timely catalyst" to lift the shares.

In afternoon trading, the stock rose $2, or 5.7 percent, to $37.04.

A service of YellowBrix, Inc.