Lucid Group Inc (NASDAQ: LCID) shares are soaring 8.09% in Wednesday's trading session, extending its winning streak for the fourth consecutive day. The electric vehicle maker's stock continues to gain momentum following a positive analyst report and growing investor optimism about its potential AI strategy.

The current rally comes on the heels of Morgan Stanley's upgrade of Lucid Group from "equal weight" to "underweight" on Tuesday. The investment firm also set a new price target of $3, representing a 27.7% upside from Tuesday's closing price. Morgan Stanley analyst Adam Jonas highlighted Lucid's opportunity to execute an AI strategy through strategic partnerships, particularly in developing onshore manufacturing capacity for Battery Electric Vehicles as a platform for AI integration.

Investors appear to be responding positively to the potential for Lucid to leverage its industry-leading drivetrain technology and explore partnerships with AI and advanced driver-assistance systems (ADAS) players. The company's focus on advancing autonomy in a software-defined EV platform could be a key driver for its future growth. As the market continues to show interest in AI-related stocks, Lucid's perceived potential in this space seems to be fueling its current stock price surge.