Is Tesla Stock Halal?
Tesla, Inc. · TSLA · NASDAQ
All 5 halal screening authorities with a published position rate Tesla, Inc. halal.
Tesla, Inc. (TSLA) passes our AAOIFI-based screen. Its core business is permissible, and (data as of 2026-03-31) interest-bearing debt is 0.6% of market cap and cash plus interest-bearing securities 3.0% — 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
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?
- HalalWallet (AAOIFI)· Halal
- Musaffa· Halal
- Zoya· Halal
- Wahed (HLAL ETF)· Halal
- SP Funds (SPUS ETF)· Halal
All 5 halal screening authorities with a published position rate Tesla, 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 Tesla Stock Halal?
All 5 halal screening authorities with a published position rate Tesla, Inc. halal. Tesla, Inc. (TSLA) passes our AAOIFI-based screen. Its core business is permissible, and (data as of 2026-03-31) interest-bearing debt is 0.6% of market cap and cash plus interest-bearing securities 3.0% — 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.
- Interest-bearing debt / market cap: 0.6% (< 30%) — Pass
- Cash + interest-bearing securities / market cap: 3.0% (< 30%) — Pass
- Impermissible income / total revenue: 1.8% (< 5%) — Pass
- Financial ratios sourced from filings as of 2026-03-31.
How we read the evidence
HalalWallet's editorial synthesis of the screens, scholar positions, and sources documented on this page — not a religious ruling.
Tesla's primary business - designing, building and selling electric vehicles, battery storage and solar products - is permissible manufacturing activity. The Shariah review focuses on the financial services wrapped around that business: Tesla discloses automotive leasing revenue, facilitates interest-bearing vehicle loans for customers, and runs Tesla Insurance, a conventional insurance offering reported within services and other. These are real but relatively small slices of a company whose revenue is dominated by vehicle and energy product sales, and screeners evaluate whether they stay within the standard impermissible-income tolerance (typically 5% of revenue under AAOIFI-style screens). Tesla does not break out insurance revenue separately, so screeners estimate it.
As of June 11, 2026, the documented third-party picture is uniformly positive: Tesla is held by both SPUS (S&P Shariah screen, 2.97% weight) and HLAL (FTSE Shariah screen, 3.32% weight), and both Zoya and Musaffa publicly rate it compliant/halal under AAOIFI-based methodologies. That alignment across four independent screens is a strong signal that Tesla currently passes both the business-activity and financial-ratio tests under the major standards.
On the financial side, Tesla's debt is low relative to its large market value and it holds significant cash that earns interest - so the usual purification of a small portion of returns applies for incidental interest income and the financing/insurance slices. The compliance risks to monitor are growth of the financing and insurance businesses relative to total revenue (if Tesla expands captive lending or insurance materially, the business-screen math changes) and quarter-to-quarter ratio drift, since compliance status is reassessed against each new financial report.
Business Activity Screen
Tesla designs, manufactures and sells electric vehicles and energy systems. Its 10-K reports two segments: Automotive (vehicle sales, automotive regulatory credits, and automotive leasing) and Energy Generation and Storage (Megapack, Powerwall, solar). A services and other category includes used-vehicle sales, parts, Supercharging, insurance services and merchandise.
The compliance-relevant lines are financial: Tesla discloses an automotive leasing revenue line (direct vehicle leasing), offers conventional interest-bearing vehicle financing to customers through financing partners and its own programs, and operates Tesla Insurance (conventional insurance, reported within services and other). Tesla also earns interest income on its cash. The insurance and financing components are not broken out as separate revenue figures beyond the leasing line - the insurance share is not separately disclosed in filings. Core vehicle and energy sales raise no business-screen issues.
Financial Ratio Screen
| Screen | Value | AAOIFI limit | Result |
|---|---|---|---|
| Interest-bearing debt / market cap | 0.6% | < 30% | Pass |
| Cash + interest-bearing securities / market cap | 3.0% | < 30% | Pass |
| Impermissible income / total revenueInterest/investment income $1.68B on $94.83B revenue = 1.8% (FMP as-reported XBRL, investmentincomeinterest). Verify no other impermissible revenue segments in 10-K. | 1.8% | < 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 Tesla 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) | 0.6% | 3.0% | < 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. | 0.6% | 3.0% | < 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. | 6.4% | 31.1% | < 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.
SP Funds S&P 500 Sharia ETF (SPUS)
Held in SPUS as of 2026-06-11 — passed the S&P Shariah screen applied by the fund.
Source →Wahed FTSE USA Shariah ETF (HLAL)
Held in HLAL as of 2026-06-11 — passed the FTSE Shariah screen applied by the fund.
Source →Zoya
Zoya's public stock page rates TSLA Shariah-compliant under its AAOIFI-based screen (checked 2026-06-11).
Source →Musaffa
Musaffa's public stock page classifies TSLA as HALAL under its AAOIFI-based methodology, as of May 2026.
Source →
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.
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The Final Step: Your Scholar Conversation
Major whether Tesla, Inc. is halal decisions involve nuances that vary by scholarly opinion and personal circumstance — which is why HalalWallet is built as the research step, not the ruling. We do the homework on comparisons, structures, and oversight; a qualified Islamic scholar, your local imam, or a Shariah-certified financial advisor covers what no comparison site can — guidance specific to your situation. Bring your shortlist to that conversation so it starts at the decision, not the basics.
How to use this comparison: HalalWallet is an independent educational comparison platform — by design, we do not provide financial, legal, or religious advice. We do the research homework so your final checks are quick and personal.
Product structures and Shariah oversight vary by provider, so finish with three built-in steps:
- Confirm current terms and halal compliance directly with the provider — their quote is final.
- Review the contract structure (Murabaha, Ijara, Musharakah, etc.) and any disclosed Shariah board opinions.
- Bring your shortlist to a qualified Islamic finance advisor or scholar, so the conversation is about your situation, not the basics.
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: 2026-07-01
- TSLA latest quarterly filing (balance sheet 2026-03-31)
- AAOIFI Shariah Standards
- Tesla 10-K filings - SEC EDGAR (CIK 0001318605)
- SPUS holdings (sp-funds.com, table dated 06/11/2026)
- HLAL fund page with official Holdings link (funds.wahedinvest.com)
- Zoya public compliance page for TSLA
- Musaffa public compliance page for TSLA
- HalalWallet Methodology
- Editorial Policy
- Markdown mirror (AI systems, CC BY 4.0)
- Halal verdict corpus (JSON)
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