Is Texas Instruments Stock Halal?
Texas Instruments Incorporated · TXN · NASDAQ
All 3 halal screening authorities with a published position rate Texas Instruments Incorporated halal.
Texas Instruments Incorporated (TXN) passes our AAOIFI-based screen. Its core business is permissible, and (data as of 2026-03-31) interest-bearing debt is 5.1% of market cap and cash plus interest-bearing securities 1.9% — 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 2026-03-31 · 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
All 3 halal screening authorities with a published position rate Texas Instruments Incorporated 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 Texas Instruments Stock Halal?
All 3 halal screening authorities with a published position rate Texas Instruments Incorporated halal. Texas Instruments Incorporated (TXN) passes our AAOIFI-based screen. Its core business is permissible, and (data as of 2026-03-31) interest-bearing debt is 5.1% of market cap and cash plus interest-bearing securities 1.9% — 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: 5.1% (< 30%) — Pass
- Cash + interest-bearing securities / market cap: 1.9% (< 30%) — Pass
- Impermissible income / total revenue: 1.3% (< 5%) — Pass
- Mainstream Shariah standards disagree on this company — see the cross-standard table below.
- 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.
Texas Instruments is one of the cleanest large-cap names for halal investors. Its entire business is designing and manufacturing analog and embedded-processing chips — the small, foundational semiconductors inside cars, factory equipment, phones, and appliances. That is a straightforwardly permissible industrial-technology activity with no alcohol, gambling, tobacco, or conventional-finance exposure, which is why every major screener — Zoya, Musaffa, HalalStocks, and HalalSignalz — independently classifies TXN as halal.
The financial ratios are equally comfortable. TI carries very low interest-bearing debt relative to its market value, holds a modest cash position, and reports essentially zero non-compliant interest income (HalalStocks shows 0.00%). That means purification on dividends is negligible in practice, though investors following a strict methodology can still donate any small reported share.
The practical takeaway: TXN passes both the business and financial screens with a wide margin. The only routine maintenance is re-checking the debt and cash ratios after new quarterly filings, since those move with the share price, and avoiding margin or options on the position.
Business Activity Screen
Texas Instruments designs, manufactures, and sells analog and embedded-processing semiconductors used in industrial, automotive, personal-electronics, and communications equipment. Per its 10-K, revenue comes almost entirely from chip sales across its Analog and Embedded Processing segments — a fully permissible industrial-technology activity.
No alcohol, gambling, tobacco, conventional-finance, or other prohibited revenue lines are disclosed. Interest income on TI's corporate cash and investments is negligible — HalalStocks.co.uk reports 0.00% non-compliant interest income and our screen shows it rounding to ~0%, far under the 5% AAOIFI threshold. Any small dividend purification is minimal in practice.
Financial Ratio Screen
| Screen | Value | AAOIFI limit | Result |
|---|---|---|---|
| Interest-bearing debt / market cap | 5.1% | < 30% | Pass |
| Cash + interest-bearing securities / market cap | 1.9% | < 30% | Pass |
| Impermissible income / total revenueOther income & expense (OI&E), net was $230M on $17.68B revenue (FY2025 10-K) = 1.3% — a conservative upper bound (OI&E is predominantly interest income); well under 5%. | 1.3% | < 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 Texas Instruments 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) | 5.1% | 1.9% | < 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. | 5.1% | 1.9% | < 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. | 40.9% | 14.8% | < 33.33% of total assets | Fail |
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 →
Other stocks where Shariah screeners disagree
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.
AbbVieABBV
Passes market-cap screens · fails MSCI/FTSE (total assets)
Air Products and ChemicalsAPD
Passes market-cap screens · fails MSCI/FTSE (total assets)
AirbnbABNB
Passes market-cap screens · fails MSCI/FTSE (total assets)
AmgenAMGN
Passes market-cap screens · fails MSCI/FTSE (total assets)
APAAPA
Fails AAOIFI market-cap · passes MSCI/FTSE (total assets)
AppLovinAPP
Passes market-cap screens · fails MSCI/FTSE (total assets)
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.
Zoya
Classifies TXN as Shariah-compliant under its AAOIFI-based methodology, reviewed at least quarterly.
Source →Musaffa
Classified HALAL as of April 2026 based on AAOIFI business-activity and financial-ratio screens (report source: 2026 Q1).
Source →HalalStocks.co.uk
Rates TXN Halal — 4 of 4 AAOIFI screens passed; debt-to-market-cap 6.2%, cash 2.0%, and 0.00% non-compliant interest income.
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 Texas Instruments Incorporated 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
- TXN latest quarterly filing (balance sheet 2026-03-31)
- AAOIFI Shariah Standards
- Texas Instruments 10-K filings (SEC EDGAR)
- Zoya — TXN Shariah compliance status
- Musaffa — TXN Shariah status (HALAL)
- HalalStocks.co.uk — TXN (Halal, 4/4 screens)
- HalalWallet Methodology
- Editorial Policy
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- Halal verdict corpus (JSON)
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