Is ALGN (Align Technology, Inc.) Halal or Haram?

Based on our AAOIFI-standard shariah screening, ALGN is Halal and considered permissible for Muslim investors. It passed all 4 of 4 compliance screens including business activity review, debt-to-market-cap ratio (0.90% vs ≤33% threshold), interest income ratio (0.40% vs ≤5% threshold), and cash & securities ratio (8.62% vs ≤33% threshold).

Align Technology, Inc. is a leading medical device company best known for revolutionizing orthodontics with its Invisalign clear aligners and iTero intraoral scanners. Operating globally, it provides advanced solutions for both general practitioner dentists and orthodontic specialists to address aesthetic and restorative dental needs. For Muslim investors, ALGN is currently classified as Halal, having successfully passed all four AAOIFI screening criteria. The company's core business in dental healthcare is fundamentally permissible, and it operates without relying on prohibited financial practices or non-compliant secondary revenue streams. From an Islamic finance perspective, Align Technology's balance sheet is incredibly strong and compliant. The company operates with a negligible debt-to-market cap ratio of 0.9% and holds cash and securities at just 8.6% of its market cap, indicating a clean, equity-driven financial structure with minimal interest-bearing leverage. Since there is no significant scholarly debate regarding the permissibility of dental devices, investors can feel confident holding this stock. Moving forward, Muslims should simply monitor the company's quarterly cash reserves and interest income to ensure they continue to remain well below the strict AAOIFI thresholds. Align Technology, Inc. operates in the Healthcare sector under the Medical - Devices industry and is headquartered in Tempe, AZ, US. The company is led by CEO Joseph Hogan and employs approximately 21,200 people.

ALGN was screened using AAOIFI-based shariah compliance criteria. Four tests are applied: (1) Business Activity — the company's core business must not derive primary income from haram (prohibited) activities such as alcohol, gambling, tobacco, or interest-based finance. (2) Debt-to-Market-Cap — total debt must not exceed 33% of market capitalization. (3) Interest Income — interest income must not exceed 5% of total revenue. (4) Cash & Securities — cash and interest-bearing securities must not exceed 33% of market cap. ALGN passed 4 of these 4 screens.

Although ALGN passes all shariah screens, it does earn $16.0M in interest income (0.40% of revenue). Many scholars recommend purifying this portion by donating the equivalent percentage of any dividends received to charity. For example, if you receive $100 in dividends, you would donate approximately $0.40 to purify the income.

ALGN was last screened on 2026-04-29. Shariah compliance status can change as companies report new financial data, acquire new businesses, or shift revenue streams. We recommend checking back periodically for the most up-to-date screening results.