Is Exxon Mobil Stock Halal?
Exxon Mobil Corporation · XOM · NYSE
Exxon Mobil Corporation (XOM) passes our AAOIFI-based screen. Its core business is permissible, and (data as of 2026-03-31) interest-bearing debt is 7.7% of market cap and cash plus interest-bearing securities 1.4% — both inside the 30% AAOIFI thresholds. It is independently held by Shariah-screened ETFs SPUS and HLAL, confirming it passes professional screens. Ratios move with the share price, so check the data-as-of date; any incidental interest income should be purified.
Financial data as of 2026-03-31 · Screening basis: AAOIFI · Last reviewed 2026-06-14
Our Analysis
Exxon Mobil is one of the more straightforward large-cap names for Shariah purposes. Its business, producing oil and gas, refining fuels, and making chemicals, is a conventional energy activity that does not appear on AAOIFI's list of prohibited industries, and it does not run an interest-based lending operation. So the analysis comes down to financial ratios, principally how much interest-bearing debt the company carries and how much interest income it earns relative to revenue.
On those measures ExxonMobil screens favorably. Despite its enormous size, it is relatively low-leverage: FY2025 interest expense was just $603 million against total revenue and other income of $332,238 million and net income of $28,844 million. A company throwing off that much cash with such modest interest expense generally sits comfortably inside the debt thresholds Shariah screens use. Investors who object to fossil fuels on environmental grounds may still choose to avoid it, but that is an ESG preference, not a Shariah prohibition.
The professional evidence aligns: ExxonMobil is held by both major US Shariah ETFs. SPUS lists it at about 1.74% of the fund as of June 11, 2026, and HLAL's SEC-filed schedule of investments shows a position as of February 28, 2026. When both funds, applying two different index methodologies (S&P Shariah and FTSE Shariah), hold the same stock, that is strong corroboration that it passes professional screens as of those dates. As always, ratio-based compliance is a snapshot, so confirm with a live screener before investing.
Business Activity Screen
Exxon Mobil Corporation is an integrated oil, gas, and chemicals company spanning upstream (oil and gas production), energy products (refining/fuels), chemical products, and specialty products. Per its FY2025 10-K, total revenues and other income were $332,238 million (sales and other operating revenue $323,905 million; income from equity affiliates $5,064 million; other income $3,269 million), and net income attributable to ExxonMobil was $28,844 million.
Conventional oil, gas, refining, and chemicals is generally treated as a permissible business activity (it is not on AAOIFI's prohibited-industry list). ExxonMobil does not operate a meaningful interest-based lending business. On leverage, the company is comparatively low-debt for its size: FY2025 interest expense was only $603 million against $332,238 million of total revenue and $28,844 million of net income, indicating modest interest-bearing debt relative to its scale and market value, which is consistent with its inclusion in the major Shariah ETFs. Any incidental interest income on cash balances would count toward the roughly 5% AAOIFI tolerance but was not separately quantified for this brief (null).
Financial Ratio Screen
| Screen | Value | AAOIFI limit | Result |
|---|---|---|---|
| Interest-bearing debt / market cap | 7.7% | < 30% | Pass |
| Cash + interest-bearing securities / market cap | 1.4% | < 30% | Pass |
| Impermissible income / total revenueCorporate & Financing interest revenue was $1,628M on $332.2B total revenues & other income (FY2025 10-K) = 0.5%. | 0.5% | < 5% | Pass |
Spot market cap at research date (consider trailing average for borderline names). Data as of 2026-03-31 · thresholds per AAOIFI Shariah standards.
This verdict uses the AAOIFI standard — the most widely used and, at a 30% debt limit, the most conservative mainstream Shariah standard. Interest-bearing debt and interest-bearing securities each stay under 30% of market cap, and impermissible income under 5% of revenue. Other standards (Dow Jones Islamic, S&P Shariah, MSCI Islamic, FTSE Yasaar) use ~33% limits or screen against total assets, so a borderline company can be rated differently by each. How we screen & why screeners disagree →
How Exxon Mobil screens across Shariah standards
All three mainstream bases below reach the same conclusion for this company.
| Standard | Debt | Cash & interest securities | Limit / basis | Result |
|---|---|---|---|---|
| AAOIFI (our standard) | 7.7% | 1.4% | < 30% of market cap | Pass |
| Dow Jones Islamic / S&P Shariah thresholdDow Jones and S&P apply this limit against a trailing 24–36-month average market cap; shown here on the same point-in-time market cap for comparison. | 7.7% | 1.4% | < 33% of market cap | Pass |
| MSCI Islamic / FTSE Yasaar basisTotal-assets denominator. MSCI/FTSE also apply entry/exit buffers and a receivables screen we do not reproduce. | 10.3% | 1.8% | < 33.33% of total assets | Pass |
HalalWallet computation reproducing each standard's threshold and denominator from public filings (balance sheet as of 2026-03-31) — not the providers' licensed index determinations, which can differ. Debt is interest-bearing borrowings (operating leases excluded). The impermissible-income screen (< 5% of revenue) is common to all of these standards and is shown in the ratio table above. Dow Jones and S&P apply their limit against a trailing 24–36-month average market cap; MSCI and FTSE add entry/exit buffers and a receivables screen. Full methodology →
Scholars' & Screeners' Positions
Published positions, cited as stated. Screeners can reach different conclusions on the same company because of ratio timing and methodology differences — we report the disagreement rather than flatten it.
Purification
Even Shariah-compliant companies typically earn a small amount of incidental interest on corporate cash. The standard practice is to purify: donate the proportion of your dividends (and, per some scholars, capital gains) attributable to impermissible income. Our purification calculator automates the math from your holding and the company's disclosed figures.
Purification calculatorKeep your portfolio halal
A pass today isn't a pass forever — ratios drift across thresholds between filings. A halal screener monitors holdings continuously.
Related guides
Consider Consulting an Islamic Scholar
Major whether Exxon Mobil Corporation is halal decisions often involve nuances that vary by scholarly opinion and personal circumstance. While HalalWallet provides educational comparisons and tools, we are not scholars or financial advisors. For personal guidance on Shariah compliance, consider speaking with a qualified Islamic scholar, your local imam, or a Shariah-certified financial advisor familiar with your situation.
Important: HalalWallet is an educational comparison platform. We do not provide financial, legal, or religious advice.
Product structures and Shariah-compliance oversight vary by provider. Before applying:
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- Review the contract structure (Murabaha, Ijara, Musharakah, etc.) and any disclosed Shariah board opinions.
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Frequently Asked Questions
Sources and review process
This page is reviewed against HalalWallet editorial standards and source documentation.
Reviewed by: HalalWallet Editorial Team
Last reviewed: 2026-06-01
- XOM latest quarterly filing (balance sheet 2026-03-31)
- AAOIFI Shariah Standards
- ExxonMobil FY2025 10-K consolidated statement of income (SEC EDGAR XBRL)
- ExxonMobil FY2025 10-K (SEC EDGAR primary document)
- SPUS holdings (SP Funds)
- HLAL Schedule of Investments 2026-02-28 (SEC EDGAR)
- HalalWallet Methodology
- Editorial Policy
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Editorial Team, HalalWallet
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