Is PDD halal?
PDD Holdings Inc.
Not halal
PDD Holdings Inc. did not pass AAOIFI screening. The failed check is shown below.
Checked: 13 October 2026
Exchange
NASDAQ
Price
80.97
Day
-1.76%
Market cap
$115.18B
Industry
Internet Retail
Sector
Consumer Cyclical
What the company does
PDD Holdings (China) runs Pinduoduo (low-price group-buying e-commerce in China) and Temu (the international cheap-goods app). Revenue comes from merchant advertising and commissions.
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 $725.15M ÷ current market cap $115.18B = 0.6%
0.6%
Pass
Cash & investments / market cap
limit 30%
Cash + interest-bearing securities $68.33B ÷ current market cap $115.18B = 59.3%
59.3%
Fail
Non-compliant income / total revenue
limit 5%
Interest income $3.83B ÷ annual revenue $64.65B (2025) = 5.9%
5.9%
Fail
Figures from the company's filings (2026-06-30), 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.
For information (AAOIFI 3/1 note): cash + receivables are 71.0% of total assets (2026-06-30). 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
- Not in the S&P 500
- Held by funds
- UMMA 0.62%
Superinvestors
SEC 13F, 2026 Q3. Up to 45 days delayed.Held by 4 superinvestors · Average reported price: $76.28
- Li LuHimalaya Capital Management$820.9M22.2%
- Norbert LouPunch Card Management$31.7M12.4%
- Duan YongpingH&H International Investment$1.9B10.0%
- Dodge & Cox Funds$347.1M0.2%
Exited this quarter: David Tepper, Howard Marks, Sarah Ketterer
All superinvestor portfoliosHalal stocks in the same industry
The largest halal stocks in Internet Retail — for comparison.
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- Halal investingBlogWhy a company's cash affects whether its stock is halalLots of cash sounds like a good sign — but halal screening checks it separately. What counts, what doesn't, and where we are stricter than AAOIFI.
- Halal investingBlogAAOIFI Shariah Standard No. 21 in plain languageThe most widely used standard for halal stock screening: the two-step test, the three ratios and how it differs from other methods.
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.