Is TEVA halal?
Teva Pharmaceutical Industries
Not halal
Teva Pharmaceutical Industries did not pass AAOIFI screening. The failed check is shown below.
Checked: 13 October 2026
Exchange
NYSE
Price
41.5
Day
+0.95%
Market cap
$48.02B
Industry
Drug Manufacturers - Specialty & Generic
Sector
Healthcare
What the company does
Teva (Israel) is the world's largest generic-drug maker and also sells branded medicines (Austedo, Ajovy). Revenue comes from generic and branded drug sales; trades as an ADR.
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 $16.59B ÷ 36-month average market cap $23.82B = 69.7%
69.7%
Fail
Cash & investments / market cap
limit 30%
Cash + interest-bearing securities $3.65B ÷ 36-month average market cap $23.82B = 15.3%
15.3%
Pass
Non-compliant income / total revenue
limit 5%
—
No data
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: $48.02B.
For information (AAOIFI 3/1 note): cash + receivables are 17.9% 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
- Not held by any tracked fund
Halal stocks in the same industry
The largest halal stocks in Drug Manufacturers - Specialty & Generic — for comparison.
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- 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?
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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.