eyeQ: IAG, Burberry, Strategy, Morgan Stanley

“Our signals are crafted through macro-valuation, trend analysis, and meticulous back-testing. This combination ensures a comprehensive evaluation of an asset's value, market conditions, and historical performance.” eyeQ

• Discover: eyeQ analysis explained | eyeQ: our smart machine in action | Glossary

This series of weekly articles uses eyeQ’s smart machine to highlight 10 stocks whose share price trades at either a discount or premium to eyeQ’s Model Value price (where macro conditions say the share 'should' trade).

A minus figure in these tables indicates a share trading below eyeQ’s Model Value, implying they are ‘cheap’ versus macro conditions. A plus figure screens as rich because the current share price is above eyeQ’s Model Value.

All companies must have a model relevance above 65%, which means the macro environment is critical and any valuation signals carry strong weight.

Here are definitions of terms used in the analysis:

Model value

Where our smart machine calculates that any stock market index, single stock or exchange-traded fund (ETF) should be priced (the fair value) given the overall macroeconomic environment.

Model relevance

How confident we are in the model value. The higher the number the better! Above 65% means the macro environment is critical, so any valuation signals carry strong weight. Below 65%, we deem that something other than macro is driving the price.

Fair Value Gap (FVG)

The difference between our model value (fair value) and where the price currently is. A positive Fair Value Gap means the security is above the model value, which we refer to as “rich”. A negative FVG means that it's cheap. The bigger the FVG, the bigger the dislocation and therefore a better entry level for trades.

Long Term model

This model looks at share prices over the last 12 months, captures the company’s relationship with growth, inflation, currency shifts, central bank policy etc and calculates our key results - model value, model relevance, Fair Value Gap.

UK Top 10

Source: eyeQ. Long Term strategic models. Data correct as at 20 March 2026.

Burberry Group

Burberry Group (LSE:BRBY)’s turnaround is gathering genuine momentum, with back-to-back quarters of positive comparable store sales and a run of analyst upgrades lifting sentiment. But eyeQ’s model suggests the market has got ahead of itself. The stock sits 6.6% above macro fair value at 947p, not quite enough to fire a bearish signal, but enough to suggest the easy money has already been made. Patient investors may find a better entry point ahead.

International Top 10

Source: eyeQ. Long Term strategic models. Data correct as at 20 March 2026.

Morgan Stanley

Morgan Stanley (NYSE:MS) has been one of Wall Street’s standout performers, with a strong earnings beat and wealth management crossing $1 trillion (£754 billion) in assets under management. But with the broader economy explaining 84% of price moves, macro has the loudest voice here. At roughly $160 against an eyeQ fair value of $145.42, the stock sits nearly 10% rich, and that gap is wide enough to fire a bearish signal. The business is in good health; the timing, less so.