Morgan Stanley lowers Alphabet's price targets

The target price of Alphabet was lowered to $135 from $145 per share.

Nevertheless, Morgan Stanley is still buying Alphabet stock.

"We (expect) project GOOGL to miss EBIT and consensus revenue in Q3. But we are buying on the downside," the analysts wrote. "For perspective, GOOGL's long-term minimum multiple is 8X EBITDA, so we have a close eye on the levels. It should give GOOGL more short-term support and could provide entry points in volatile weeks…even if valuations 23 years have risk.."