What got the team talking this week - Firetrail Investments

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What got the team talking this week

June 5, 2025

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Watt’s the limit on AI?

Morgan Stanley is forecasting a 45GW power shortfall for US data centres through to 2028. The shortfall highlights the growing mismatch between AI infrastructure demand and available grid capacity. Looking further ahead, the rise of humanoid robots could stretch the grid even further—with 1 billion humanoids potentially requiring electricity equivalent to the entire US power supply.

Source: Morgan Stanley Research (June 2025)

Wage bump incoming…

The Fair Work Commission has announced a 3.5% increase to the national minimum wage, effective from July. While it’s a step down from last year’s rise, it still outpaces CPI – aiming to claw back some of the real wage declines seen over the past four years.

Source: Fair Work Commission, Jefferies (June 2025)

The other AI stock: you know NVIDIA, but what about AMD?

NVIDIA dominates the AI headlines—but it’s not the only player in town. Tune into the latest Firetrail Equity Edge podcast where S3 Global Portfolio Manager, Justin Gray, breaks down our investment thesis for AMD in under 10 minutes!

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Disclaimer

This article is prepared by Firetrail Investments Pty Limited (‘Firetrail’) (ABN 98 622 377 913, AFSL 516821) as the investment manager of the Firetrail Australian High Conviction Fund (ARSN 624 136 045), the Firetrail Absolute Return Fund (ARSN 624 135 879), the Firetrail Australian Small Companies Fund (ARSN 638 792 113) and the Firetrail S3 Global Opportunities Fund (ARSN 653 717 625) (‘the Funds’). Pinnacle Fund Services Limited ('PFSL') (ABN 29 082 494 362, AFSL 238371) is the product issuer of the Fund. PFSL is not licensed to provide financial product advice. PFSL is a wholly-owned subsidiary of the Pinnacle Investment Management Group Limited (‘Pinnacle’) (ABN 22 100 325 184). The Product Disclosure Statement (‘PDS’) and Target Market Determination (‘TMD’) of the relevant Fund are available via the links below. Any potential investor should consider the PDS and TMD before deciding whether to acquire, or continue to hold units in, the Fund.

Links to the Product Disclosure Statement: WHT3810AU, WHT5134AU, WHT3093AU, WHT7794AU

Links to the Target Market Determination: WHT3810AU, WHT5134AU, WHT3093AU, WHT7794AU

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