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AAOIFI No. 21 screening

Is SIMO halal?

Silicon Motion Technology Corpo

Halal

Silicon Motion Technology Corpo 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

211.3

Day

-3.25%

Market cap

$7.29B

Industry

Semiconductors

Sector

Technology

What the company does

Silicon Motion (Taiwan) makes NAND flash controller chips (for SSDs, phone storage and memory cards) — the world leader. Customers are memory makers; its money comes from chip sales.

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 $61.87M ÷ 36-month average market cap (estimated) $3.60B = 1.7%

    1.7%

    Pass

  • Cash & investments / market cap

    limit 30%

    Cash + interest-bearing securities $201.77M ÷ 36-month average market cap (estimated) $3.60B = 5.6%

    5.6%

    Pass

  • Non-compliant income / total revenue

    limit 5%

    Interest income $9.66M ÷ annual revenue $885.63M (2025) = 1.1%

    1.1%

    Pass

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. Today's market cap: $7.29B.

For information (AAOIFI 3/1 note): cash + receivables are 24.8% 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
Among halal stocks
0.01% · #486 of 1454
Held by funds
SPWO 0.08%

Superinvestors

SEC 13F, 2026 Q3. Up to 45 days delayed.

Held by 2 superinvestors · Average reported price: $333.33

All superinvestor portfolios

Halal stocks in the same industry

The largest halal stocks in Semiconductors — for comparison.

Related articles

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.

Earnings historySIMO's next report date, EPS estimate vs actual for recent quarters and the post-earnings price move.View earnings →