Tuya Inc. (NYSE: TUYA), a leading Chinese artificial intelligence (AI) company, saw its stock soar 7.99% in pre-market trading on Friday. This surge was driven by a combination of factors, including the company's ambitious plans to integrate advanced AI models into its platform and favorable analyst recommendations.

Tuya recently announced a strategic collaboration with DeepSeek, a prominent AI model provider, to integrate cutting-edge AI capabilities into its Internet of Things (IoT) platform. This move aims to transform smart devices into "active intelligence" systems, unlocking new possibilities in fields such as energy management, pet care, and smart homes. Investors reacted positively to this development, as it positions Tuya at the forefront of AI-driven innovation and commercialization.

Additionally, Morgan Stanley, a respected U.S. investment bank, issued a bullish outlook on Tuya's stock, expressing confidence in the company's prospects within the rapidly expanding AI industry. The analysts recommended investors to buy Tuya's shares, citing its potential to capitalize on the burgeoning AI market. This positive sentiment from a prominent financial institution added to the stock's upward momentum.