Morgan Stanley believes that CATL's acquisition of a 17.4% stake in ZHONHEN enhances its integration capabilities in energy systems, which is essential for meeting the power demands of data centers and AI applications. This strategic move allows CATL to connect directly with end users, reinforcing its position in the market. As a result, the firm maintains an Overweight/Equalweight rating on CATL's shares with target prices of RMB530 and $655.