Not so long ago, he was considered the first-choice striker for one of the favorites for the World Cup in Russian Federation.
Morata was included for friendlies against Russian Federation and Costa Rica back in November, but since then has really struggled at club level and has paid the price with Spain.
Asked if Friday's selection meant that former Chelsea striker Diego Costa, who has earned a recall, would be going to Russian Federation this summer and Morata would not, Lopetegui said: "No, the World Cup is not tomorrow".
"There are players who are not on the list whose chances of going to the World Cup are intact. If I have to look at the problems of the national teams, it's not the right time for me".
Spain play Germany in Dusseldorf on March 23 and host Argentina on March 27 at Atletico's Wanda Metropolitano stadium.
The Chelsea boss refused to make too much of a comment on his recent displays but insisted he is not bothered if he or Cahill make the final World Cup squads. We like Rodri a lot, he is a very complete player.More news: Xi re-elected as China's president, his confidant becomes No. 2
Morata struggled with back injuries earlier this year and last scored for Chelsea on December 26.
Former Chelsea striker Diego Costa is in the squad after rebuilding his career back at Atletico Madrid. "They'll all be competing for their spots".
The Chelsea man has been left out of Spain's squad for friendlies against Germany and Argentina.
"We are looking to get more information about players".
Barcelona's Sergio Busquets and Bayern Munich's Thiago Alcantara, who were injured this week during Champions League games, were not selected.
Conte said: "I think Gary is a player that, in my opinion, for his experience, for the quality of the player, the quality of the person, I hope to go in the national team and play another World Cup".