Alphabet rises even as KeyBanc cuts PT to Wall Street low on lower multiple
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Alphabet (NASDAQ:GOOG) (NASDAQ:GOOGL) shares rose on Wednesday even as KeyBanc Capital Markets lowered its price target on the tech giant to a Wall Street low, citing concerns over a lower earnings multiple.
Analyst Justin Patterson, who rates Alphabet overweight, lowered the price target to $3,075 from $3,400, but noted that he did not lower revenue estimates and raised earnings per share estimates.

"Our revenue outlook is effectively unchanged as headwinds from Europe and YouTube are offset by a slightly stronger Search forecast (12.5% for 2022E, 13.5% for 2023E)," Patterson wrote in a note to clients.
Alphabet (GOOG) (GOOGL) shares rose more than 0.5% to $2,618.38 in premarket trading on Wednesday.
In addition, Patterson pointed out that given search's higher margins, earnings per share estimates were boosted by 4% or 5% each year.
Last week, investment firm MKM Partners cut estimates on online advertising, impacting Alphabet (GOOG) (GOOGL), as well as several other advertising-centric stocks, citing rough macroeconomic conditions.