Is The Home Depot, Inc. (HD) stock halal?

Yes, under our AAOIFI-based methodology The Home Depot, Inc. passes the business-activity and financial-ratio screens as shown on this page (data as of 2026-05-03). Check the dated ratio table before investing; ratios move with the share price.

Does The Home Depot, Inc. pass the AAOIFI financial ratio screen?

As of 2026-05-03: interest-bearing debt is 14.8% of market cap (limit < 30%); cash plus interest-bearing securities is 0.5% (limit < 30%). The impermissible-income line is verified against the annual filing where noted on this page.

Is The Home Depot, Inc. held in halal ETFs like SPUS or HLAL?

Check the scholar/screener positions and sources on this page for current SPUS, HLAL, Zoya, and Musaffa statuses.

Do I need to purify dividends from The Home Depot, Inc.?

Yes, in most cases. Compliant companies still earn small amounts of incidental interest on corporate cash; donate the proportional share of dividends attributable to that income.

Is The Home Depot Stock Halal? The Home Depot, Inc. (HD) passes our AAOIFI-based screen. Its core business is permissible, and (data as of 2026-05-03) interest-bearing debt is 14.8% of market cap and cash plus interest-bearing securities 0.5% — both inside the 30% AAOIFI thresholds. Ratios move with the share price, so check the data-as-of date; any incidental interest income should be purified. Reviewed 2026-06-15. Published by HalalWallet.

Is The Home Depot Stock Halal?

Q: Is The Home Depot Stock Halal?

All 3 halal screening authorities with a published position rate The Home Depot, Inc. halal. Halal: The Home Depot, Inc. (HD) passes our AAOIFI-based screen. Its core business is permissible, and (data as of 2026-05-03) interest-bearing debt is 14.8% of market cap and cash plus interest-bearing securities 0.5% — both inside the 30% AAOIFI thresholds. Ratios move with the share price, so check the data-as-of date; any incidental interest income should be purified. (Financial data as of 2026-05-03; basis: AAOIFI Shariah standards.)

Q: Is The Home Depot, Inc. held in halal ETFs like SPUS or HLAL?

Check the scholar/screener positions and sources on this page for current SPUS, HLAL, Zoya, and Musaffa statuses.

Q: Do I need to purify dividends from The Home Depot, Inc.?

Yes, in most cases. Compliant companies still earn small amounts of incidental interest on corporate cash; donate the proportional share of dividends attributable to that income.

The Home Depot, Inc. · HD · NYSE

HalalGenerally permissible3 authorities agree

All 3 halal screening authorities with a published position rate The Home Depot, Inc. halal.

The Home Depot, Inc. (HD) passes our AAOIFI-based screen. Its core business is permissible, and (data as of 2026-05-03) interest-bearing debt is 14.8% of market cap and cash plus interest-bearing securities 0.5% — both inside the 30% AAOIFI thresholds. Ratios move with the share price, so check the data-as-of date; any incidental interest income should be purified.

Financial data as of 2026-05-03 · Screening basis: AAOIFI · Last reviewed 2026-06-15

HalalWallet is not a Shariah authority and does not issue religious rulings. We compile the most complete public record of what Shariah scholars, screening authorities, and mainstream standards say — reproduced from primary sources with dates and citations — and let you decide.

Do the halal screening authorities agree?

Authorities agree3 of 5 authorities with a published position

HalalWallet (AAOIFI)· Halal
Musaffa· Halal
Zoya· Halal

All 3 halal screening authorities with a published position rate The Home Depot, Inc. halal.

Stances are normalized from each authority's own dated public position. Disagreement usually reflects a methodology or standard difference (ratio timing, market-cap vs total-assets denominator), not an error. For the fund screens (Wahed/HLAL, SP Funds/SPUS), only a confirmed holding that passed the fund's screen counts as a pass — a non-holding is left blank because absence can reflect index scope.

Is The Home Depot Stock Halal?

All 3 halal screening authorities with a published position rate The Home Depot, Inc. halal. The Home Depot, Inc. (HD) passes our AAOIFI-based screen. Its core business is permissible, and (data as of 2026-05-03) interest-bearing debt is 14.8% of market cap and cash plus interest-bearing securities 0.5% — both inside the 30% AAOIFI thresholds. Ratios move with the share price, so check the data-as-of date; any incidental interest income should be purified.

Interest-bearing debt / market cap: 14.8% (< 30%) — Pass
Cash + interest-bearing securities / market cap: 0.5% (< 30%) — Pass
Impermissible income / total revenue: 0.1% (< 5%) — Pass
Mainstream Shariah standards disagree on this company — see the cross-standard table below.
Financial ratios sourced from filings as of 2026-05-03.

How we read the evidence

HalalWallet's editorial synthesis of the screens, scholar positions, and sources documented on this page — not a religious ruling.

Home Depot is a clean case for halal investors. Its business is straightforward retail — selling building materials, tools, appliances, and home-improvement goods to consumers and trade professionals through its big-box stores and website. Retailing permissible goods raises no business-activity concern, so the qualitative screen passes without complication.

The financial ratios are comfortably inside AAOIFI limits. Home Depot carries moderate interest-bearing debt relative to its market capitalization (well under the 30% threshold), holds very little excess interest-bearing cash, and earns only a tiny amount of interest income — about 0.1% of revenue on our screen, far below the 5% limit. One detail worth knowing: Home Depot's consumer and professional credit-card programs are issued and financed by third-party banks, not on Home Depot's own balance sheet, so they do not turn the retailer into a conventional lender. This is why Zoya, Musaffa, and Muslim Xchange all classify the stock as compliant.

The practical takeaway: Home Depot passes both screens cleanly today. As always, a pass is dated — ratios move with the share price and new filings — so check the data-as-of date on this page, and purify the small proportional share of any dividends attributable to incidental interest income.

Business Activity Screen

Pass· impermissible revenue ≈ 0.1% (AAOIFI limit < 5%)

The Home Depot is the largest home-improvement retailer in the United States, selling building materials, tools, appliances, and home-improvement products to DIY consumers, professional contractors, and tradespeople through big-box stores and online. Retailing permissible goods is a permissible business activity.

Core home-improvement retail revenue raises no business-screen issues. The one review point is a small amount of interest income — roughly 0.1% of revenue on our screen, far below the 5% AAOIFI threshold; the standard treatment is to purify the proportional share of dividends attributable to it. Home Depot's consumer and pro credit-card programs are issued and financed by third-party banks rather than on Home Depot's own balance sheet, so they do not make the company a conventional lender. No alcohol, gambling, tobacco, or interest-based lending lines are disclosed.

Financial Ratio Screen

Screen	Value	AAOIFI limit	Result
Interest-bearing debt / market cap	14.8%	< 30%	Pass
Cash + interest-bearing securities / market cap	0.5%	< 30%	Pass
Impermissible income / total revenueInterest income $141.0M on $164.68B total revenue (The Home Depot, Inc. FY2025 (fiscal year ended 2026-02-01, Form 10-K)) = 0.1% — under AAOIFI's 5% limit.	0.1%	< 5%	Pass

Spot market cap at research date (consider trailing average for borderline names). Data as of 2026-05-03 · 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 The Home Depot screens across Shariah standards

The standards disagree on this company. It passes some Shariah screens and fails others — which is exactly why you may see a different answer in different apps. Our headline verdict uses AAOIFI, the strictest and most widely cited mainstream standard.

Standard	Debt	Cash & interest securities	Limit / basis	Result
AAOIFI (our standard)	14.8%	0.5%	< 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.	14.8%	0.5%	< 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.	44.8%	1.5%	< 33.33% of total assets	Fail

HalalWallet computation reproducing each standard's threshold and denominator from public filings (balance sheet as of 2026-05-03) — 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 →

These companies pass under some mainstream standards and fail under others — the same pattern as this verdict. That is why two apps can show different answers.

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