Morgan Stanley cut its price target on Tesla from $350 a share to $330 last week following the earnings release, citing unexpected headwinds in the fourth quarter and beyond.
A weakening demand outlook for EVs and concerns over the impact of the Inflation Reduction Act have also already been priced in to CATL's stock price, Citi added.
Battery boom HSBC has forecast demand for EV lithium-ion batteries to grow at a compounded rate of 32% into 2030.
Meanwhile, Citi estimates global EV penetration will reach 55% by 2030.
The bank sees global battery demand for EVs and energy storage systems to grow 62% this year and a further 29% in 2023.