Solitary animals (like cats) need privacy and independence. They don’t like to share their territory with other individuals, be these other cats, other pets or people.
Owners of two or more cats often treat their pets as one 'group' able to share resources equally. However, in reality it is far more likely their cats live independently of each other, with very little or no interaction. In this case any interaction that must occur (e.g. while sharing food/water bowls or litter box) is a potential source of stress. The more cats in the house the worse this situation can become.
Cohabitation with other cats can be highly stressful for a cat, increasing the potential for medical and behavioral problems.