[X] With sympathy. Zuko wishes to be Fire Lord for the sake of his dreams. But the Fire Lord does not dream. The Fire Lord does not feed scraggly turtle-ducks in quiet afternoons beside the pond. The Fire Lord is the scale on which all life in the Fire Nation is weighed. Even if he could survive the pressure, the man who emerged from that crucible would not be the man Zuko wishes to be. But you? You are already a monster. You are already willing to do all the things it would ruin your brother to do. The sooner he sees that, the sooner he will understand you are the only choice to rule.
I'm gonna choose this, because Azula will almost certainly believe she's lying and manipulating Zuko when she says it. And she kinda is, because lol, let's be real, they are still not there yet, for her to feel bad for bad things that would happen to him, as we've just established.
But it says things about Azula. That she can at least come up with a mental framework that establishes:
1) that the Fire Throne is a burden and nobody in their right mind would want to rule the Fire Nation.
2) that her father is a monster.
There won't be a mid-conversation realization from Azula about how she doesn't even know why she's fighting Zuko for the damn thing when she doesn't want it, but it's another wedge to drive in.
As an aside, kinda wonder what will happen to the first poor sod who suggests to her that she might be a more powerful firebender than her dad.