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ARW · Technology
Arrow Electronics, Inc.

Is Arrow Electronics, Inc. (ARW) halal?

Arrow Electronics, Inc. is considered halal under 2 of 5 standards — the scholars disagree. Below is the verdict under each of the five mainstream scholarly standards, with the deciding numbers and the source behind every threshold.

Ratios computed from Arrow Electronics, Inc.'s Q2 2026 filing (source). Verdicts are re-computed when new financials are filed.

ARW verdict by standard · 2 halal · 2 borderline · 1 not halal
  • AAOIFI Standard

    All ratio checks pass.

    Halal
  • Mufti Taqi Usmani (stricter Hanafi)

    Illiquid (tangible) assets / total assets 19.0% (limit 20%)

    Borderline
  • Dow Jones Islamic Market

    Accounts receivable / market cap 168.1% (limit 33%)

    Borderline
  • Ja'fari (Sistani-aligned)

    All ratio checks pass.

    Halal
  • Strict / zero-tolerance

    Impermissible income / revenue 0.0% (limit 0%); Interest-bearing debt / market cap 26.3% (limit 0%); Cash + interest-bearing securities / market cap 2.6% (limit 0%)

    Not halal
Where the standards agree & differ
Halal under only 2 of 5 standards
2/5 halal

The standards disagree — knowing why lets you decide which view you follow.

Why they differ
  • Illiquid-asset floor

    Tangible (illiquid) assets are 19.0% of total. Mufti Taqi require at least 20% — the only standard that imposes this floor — so ARW fails there while the others, which have no such rule, pass.

  • Debt cap

    Interest-bearing debt is 26.3% of market cap — over the 0% cap used by Strict, but within the 30%/33% cap of AAOIFI, Mufti Taqi, DJIM and Ja'fari.

  • Cash & securities cap

    Cash + interest-bearing securities are 2.6% of market cap — above the limit Strict apply, but within AAOIFI, Mufti Taqi, DJIM and Ja'fari's.

  • Receivables cap

    Receivables are 168.1% of market cap. DJIM cap them (the only standard that screens receivables); the others don't screen this at all.

  • Impermissible income

    Impermissible (mostly interest) income is 0.0% of revenue — Strict allow 0% here, the others up to 5%.

Each difference is computed from the exact threshold each standard publishes — not an opinion. Pick the standard your scholar follows; HalalGauge shows the receipts either way.

The numbers behind the verdict

Interest-bearing debt / market cap
26.3%
Cash + securities / market cap
2.6%
Receivables / market cap
168.1%
Impermissible income / revenue
0.0%
Illiquid (tangible) assets / total
19.0%

Thresholds and methodology differ by scholar — e.g. AAOIFI caps interest-bearing debt at 30% of market cap, DJIM at 33%, and Mufti Taqi additionally requires tangible assets to be at least 20% of total assets. That's why two screeners can disagree on the same stock.

Screen ARW interactively See the full balance sheet How the methodologies work
Sources

Other Technology tickers

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HalalGauge surfaces published scholarly methodologies with full sourcing; it does not issue fatwa or certify any security as halal. Verify with a qualified scholar before investing.