Is AMAT halal?
Applied Materials, Inc.
Halal
Applied Materials, Inc. passed every check under AAOIFI Shariah standard No. 21: no prohibited business activity, and all three financial ratios are within limits.
Checked: 15 October 2026
Exchange
NASDAQ
Price
409.29
Day
-4.82%
Market cap
$340.81B
Industry
Semiconductor Equipment & Materials
Sector
Technology
What the company does
Applied Materials makes equipment for chip factories: deposition, etch, ion-implant and inspection machines for silicon wafers. Customers are TSMC, Samsung, Intel and Micron; its money comes from equipment sales and services.
What was checked
The AAOIFI standard has four steps: business activity first, then three financial ratios. Fail one and the stock is not halal.
Business activity
No prohibited activity
Interest-bearing debt / market cap
limit 30%
Interest-bearing debt $6.54B ÷ 36-month average market cap $192.00B = 3.4%
3.4%
Pass
Cash & investments / market cap
limit 30%
Cash + interest-bearing securities $9.23B ÷ 36-month average market cap $192.00B = 4.8%
4.8%
Pass
Non-compliant income / total revenue
limit 5%
Interest income $1.25B ÷ annual revenue $28.37B (2025) = 4.4%
4.4%
Pass
Figures from the company's filings (2026-07-31), USD. Market cap is a 36-month average (the S&P Shariah index approach), so a one-day price move does not flip the verdict. Today's market cap: $340.81B.
For information (AAOIFI 3/1 note): cash + receivables are 39.7% of total assets (2026-07-31). AAOIFI recommends tangible assets of at least one third — this figure does not affect the verdict, and other major screeners do not apply it either.
In the lists
- In the S&P 500
- 0.51% weight · #31 of 503
- Among halal stocks
- 0.50% · #30 of 1454
- Held by funds
- SPUS 0.87% · SPTE 0.85% · HLAL 0.85%
- Dividend
- 0.40% · purify 4.4% · net 0.38%
Superinvestors
SEC 13F, 2026 Q3. Up to 45 days delayed.Held by 11 superinvestors · Average reported price: $720.54
- Abrams Bison Investments$399.1M19.5%
- William Von MuefflingCantillon Capital Management$36.3M5.5%
- Stephen MandelLone Pine Capital$873.2M5.3%
- Chase ColemanTiger Global Management$1.2B4.9%
- John ArmitageEgerton Capital$376.7M3.6%
- David KatzMatrix Asset Advisors$24.5M2.0%
Halal stocks in the same industry
The largest halal stocks in Semiconductor Equipment & Materials — for comparison.
Related articles
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- Halal investingBlogHow to calculate purification for a halal stockEven a halal company earns a little interest. A simple formula and worked example for how much of your dividend to give to charity.
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Halal is the first question. The second: when to enter?
Our scanner watches 1454 halal stocks around the clock and fires a signal with entry, TP and SL when a technical setup completes. The full signal history — with outcomes — is public.
This is neither investment advice nor a fatwa. Screening is based on public financial statements and AAOIFI standard No. 21; data may lag. For a personal decision consult your own scholar.