Is AMZN (Amazon.com, Inc.) Halal or Haram?

Based on our AAOIFI-standard shariah screening, AMZN 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 (6.94% vs ≤33% threshold), interest income ratio (0.61% vs ≤5% threshold), and cash & securities ratio (5.58% vs ≤33% threshold).

Amazon is the world's dominant e-commerce retailer and cloud computing provider, operating through its massive online marketplace and Amazon Web Services (AWS). Beyond just selling goods, the company manufactures popular hardware like Kindle, Echo, and Ring devices, while simultaneously running a major logistics network and streaming services via Prime Video. Its dual engine of high-volume retail and high-margin cloud services makes it a unique titan in the global economy. For Muslim investors, Amazon. com, Inc. is classified as Halal because it passes all four primary AAOIFI screening criteria. The company’ s core business activities are permissible, and its financial health aligns with Shariah standards, specifically maintaining low levels of interest-bearing debt relative to its total market value. This 'Halal' status means you can confidently include AMZN in your portfolio, provided you account for necessary dividend purification. Financially, Amazon demonstrates strong discipline that appeals to Islamic investment principles. With a debt-to-market cap ratio of only 6.9% and cash securities at 5.6%, the company is far below the prohibitory 33% thresholds, indicating it is not overly leveraged on interest-based loans. Additionally , its interest income is negligible at 0.61% of total revenue, well within the 5% tolerance limit set by scholars. While the stock is compliant, investors should remain vigilant regarding the 'impermissible income' generated from Amazon Prime's entertainment content and interest on cash deposits. Although this revenue is currently a tiny fraction of the whole , best practice dictates calculating and donating that specific percentage of your dividends to charity to purify your earnings. Amazon.com, Inc. operates in the Consumer Cyclical sector under the Specialty Retail industry and is headquartered in Seattle, WA, US. The company is led by CEO Andrew R. Jassy and employs approximately 1,560,000 people.

AMZN 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. AMZN passed 4 of these 4 screens.

Although AMZN passes all shariah screens, it does earn $4.38B in interest income (0.61% 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 $0.61 to purify the income.

AMZN was last screened on 2026-02-24. 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.