[Morgan Stanley Bullish on GOOGL, META, True Valuations Undervalued by Over 30%] Deep Tide TechFlow reports that on July 2, according to Tide Research, Morgan Stanley released an internet tracking report, pointing out that Google and Meta's nominal EV/EBITDA ratios do not appear expensive (GOOGL at 16.1x, META at 8.9x). However, after adjusting for stock-based compensation accounting, the true multiples rise from 16.3x to 31.1x (+91%), still below the five-year average of 31.6x. This indicates that the true valuations of these internet giants are undervalued by the market by over 30%. In the short term, AI-related funds are in a wait-and-see mode, and the expected EPS growth rate for digital advertising companies in 2026 is negative. In the long term, once the ROI of AI advertising products is clearly validated, the valuation center could be reshaped quickly. The recent decline in the internet index is a technical correction, with a YTD increase of 14.2%. Catalysts include the validation of AI advertising ROI, changes in interest rate expectations, and the repricing of valuation centers.