Top Halal Stocks to Watch in 2026: AAOIFI Screened & Analyzed

Finding Shariah-compliant stocks can feel overwhelming. With thousands of publicly traded companies, how do you know which ones pass Islamic screening? We have done the work for you. This guide highlights some of the most popular and well-known stocks that currently pass AAOIFI 30/30/5 screening, across multiple sectors. Use this as a starting point for your own research -- not as investment advice.

How We Screen: The AAOIFI 30/30/5 Standard

Every stock on this list has been screened against the AAOIFI 30/30/5 standard, which evaluates four criteria:

1. Business activity is not in a prohibited (haram) industry
2. Interest-bearing debt / Market cap < 30%
3. Cash & interest-bearing securities / Market cap < 30%
4. Non-permissible income / Total revenue < 5%

A stock must pass all four screens to be considered Shariah compliant. You can verify any stock for free using the Halalytic Stock Screener.

Technology Sector

Technology is one of the most halal-friendly sectors because tech companies tend to have low debt, minimal exposure to prohibited activities, and high cash generation from legitimate services.

• Apple (AAPL) -- The world's most valuable company consistently passes AAOIFI screening with comfortable margins on all three financial ratios. Apple's revenue comes from hardware (iPhone, Mac, iPad) and services (App Store, iCloud), all of which are permissible.
• Microsoft (MSFT) -- A cloud computing and enterprise software giant. Microsoft's Azure cloud platform and Office 365 subscriptions drive revenue from clearly permissible business activities.
• NVIDIA (NVDA) -- The leading AI chip manufacturer. NVIDIA designs GPUs used in AI training, data centers, gaming, and autonomous vehicles -- all permissible activities.
• Adobe (ADBE) -- Creative and document management software. Low debt and exclusively permissible revenue from software subscriptions.

Healthcare Sector

Healthcare is considered a beneficial industry in Islam. Companies that develop medicines, medical devices, and health services contribute to preserving life, which is one of the five objectives (maqasid) of Shariah.

• Johnson & Johnson (JNJ) -- A diversified healthcare company with a strong pharmaceutical division. Generally passes AAOIFI screening, though investors should monitor debt ratios after major acquisitions.
• Eli Lilly (LLY) -- One of the fastest-growing pharmaceutical companies, known for diabetes and weight-loss drugs. Low debt profile and exclusively permissible pharmaceutical revenue.
• Intuitive Surgical (ISRG) -- Maker of the da Vinci robotic surgical system. A medical technology company with virtually no debt and 100% permissible revenue from surgical robotics.

Consumer & Retail Sector

• Costco (COST) -- Membership-based warehouse retailer. While Costco does sell some alcohol products, the proportion of revenue is below the 5% threshold, and the company maintains low debt levels.
• Procter & Gamble (PG) -- Household consumer goods (Tide, Pampers, Gillette). Entirely permissible product lines with stable financial ratios.

Energy Sector

• ExxonMobil (XOM) -- The largest publicly traded oil and gas company. Energy extraction and distribution are permissible activities. Exxon generally maintains debt levels within AAOIFI limits.
• Tesla (TSLA) -- Electric vehicles and clean energy. Tesla's mission aligns well with the Islamic principle of environmental stewardship (khalifah). Low debt and permissible revenue from EVs and energy storage.

Halal ETF Alternatives

If you prefer a diversified approach rather than picking individual stocks, consider Shariah-compliant ETFs that pre-screen their holdings:

• SPUS -- SP Funds S&P 500 Sharia Industry Exclusions ETF
• HLAL -- Wahed FTSE USA Shariah ETF
• UMMA -- Wahed Dow Jones Islamic World ETF

Read our detailed ETF comparison for a full analysis of fees, performance, and holdings.

How to Build a Halal Portfolio

1. Screen every stock before buying using the Halalytic screener
2. Diversify across sectors -- don't concentrate everything in tech
3. Re-check quarterly -- compliance status can change when companies report new financials
4. Purify your dividends -- if a stock has a small non-permissible income ratio, donate that percentage of your dividends to charity
5. Pay zakat annually -- use the Zakat on Stocks calculator to determine your obligation

Explore More

Want to explore halal stocks by market index or industry sector? Check out our dedicated screening pages:

• Halal Stocks by Index (S&P 500, NASDAQ, Dow Jones, FTSE, TSX)
• Halal Stocks by Sector (Technology, Healthcare, Energy, Consumer, and more)