Iowa State is a significantly better team and would win a majority of games against Iowa, especially in Hilton. I think every sane person on this board would agree with that statement. But it's a long, long way from saying that to saying ISU definitely will win.
1. ISU is going to lose some games this year, and the first loss is going to be a major upset. When one team is ranked in the top 5 and the opponent isn't ranked, a loss is, per se, a major upset. I think both Iowa and UNI are capable of the upset.
2. ISU is, as noted, not a deep team. The Cyclones have done a better job than most teams so far this year adapting to the new interpretation of the foul rules, but if somebody picks up some quick fouls, it's a significant thing.
3. ISU has not shot free throws well as a team, and McKay has been abysmal. I think he's under 20% for the year, and he's gone to the line more than any of his teammates.
4. ISU has shown a tendency, both this season and last, to play lackadaisical for awhile and then straighten up and win. The Colorado, Illinois and North Dakota State games were all closer than the scores would indicate. Last year in the Big XII tournament, ISU trailed by double digits in the second half of all three games -- including by 18 in the second half against KU in the title game -- and came back to win. But they weren't able to do it against UAB.
5. Having said that, and going back to the OP, I can't think of a matchup in which the Iowa player would be favored. Maybe Uthoff against Nader, if Uthoff brings his "A" game, but that isn't assured.
6. If Iowa is shooting outside better than average, and ISU is shooting worse than average, the Hawks might very well win.