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Is DRVN (Driven Brands Holdings Inc.) Halal or Haram?

NASDAQ Global SelectConsumer CyclicalAuto - Dealerships$2.09B2026-04-27
DRVN is Doubtful3/4 screens passed

While Driven Brands Holdings operates a permissible automotive services business, it currently fails AAOIFI shariah compliance standards due to excessive leverage. The company's debt-to-market cap ratio stands at an alarming 191.1%, far exceeding the 33% maximum threshold, though its interest income and cash reserves remain well within acceptable limits.

Price Chart (5D)

$13.20-0.31 (-2.29%)
2026-06-092026-06-02

DRVN — Last 7 Days

DateOpenHighLowCloseVolumeChange
2026-06-0913.5213.6313.1013.21943K-2.29%
2026-06-0813.0813.6912.9013.47706K+2.98%
2026-06-0513.0713.2812.8613.00778K-0.54%
2026-06-0413.1613.1612.6412.891.2M-2.05%
2026-06-0313.2913.3112.7612.78951K-3.84%
2026-06-0213.5513.5513.2113.291.0M-1.92%
2026-06-0113.7413.8513.5313.58993K-1.16%

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Shariah Screening Details for DRVN

Business Activity

Permissible

Driven Brands Holdings passes the business activity screen because its core operations—providing automotive repairs, car washes, and parts distribution—are permissible under Islamic principles.

Debt / Market Cap

191.05%

Debt: $4.00BThreshold: ≤33%

Interest Income

0.00%

Interest: $0Threshold: ≤5%

Cash & Securities

8.12%

Cash: $170.0MThreshold: ≤33%

About Driven Brands Holdings Inc. (DRVN)

Driven Brands Holdings Inc. is a major player in the automotive services industry across North America and internationally. The company provides essential vehicle maintenance services, including collision repair, car washes, oil changes, and glass repair, while also distributing automotive parts to various repair outlets.

For Muslim investors using HalalStocks.co.uk, DRVN is currently classified as Doubtful. Although its core business activities of vehicle maintenance and parts distribution are perfectly halal, the stock fails the financial screening criteria due to a severe violation of the debt threshold.

From an Islamic finance perspective, the primary concern with Driven Brands is its massive debt load, with a debt-to-market cap ratio reaching 191.1%, drastically exceeding the 33% AAOIFI limit. On a positive note, the company generates 0.00% in interest income and maintains a compliant cash-to-market cap ratio of 8.1%.

Halal investors should avoid DRVN until the company significantly restructures its balance sheet and reduces its reliance on interest-bearing debt. Monitoring the stock's market capitalization and debt reduction efforts will be crucial for any future re-evaluation of its shariah compliance status.

CEO

Daniel R. Rivera

Employees

10,700

IPO Date

2021-01-19

Headquarters

Charlotte, NC, US

DRVN Key Financial Statistics

Revenue

$2.34B

Net Income

$-292.5M

EPS (Diluted)

$-1.82

Stock Price

12.72

Beta

1.01

52-Week Range

9.8-19.74

Total Debt

$4.00B

Total Equity

$607.3M

Current Ratio

1.52

DRVN Financial Health & Profitability

Profit Margins

Gross Margin52.4%
Operating Margin-6.0%
Net Margin-12.5%

Revenue Growth (YoY)

+1.5%

Prior year: $2.30B

Net Debt

$3.83B

Cash: $170.0M — Debt: $4.00B

Frequently Asked Questions About DRVN

Is DRVN (Driven Brands Holdings Inc.) stock halal to invest in?
Based on our AAOIFI-standard shariah screening, DRVN is classified as Doubtful. It passed 3 of 4 compliance screens. Some scholars may permit investing with income purification, while others advise avoiding it. We recommend consulting a qualified Islamic scholar before investing in DRVN.
What does Driven Brands Holdings Inc. do?
Driven Brands Holdings Inc. is a major player in the automotive services industry across North America and internationally. The company provides essential vehicle maintenance services, including collision repair, car washes, oil changes, and glass repair, while also distributing automotive parts to various repair outlets. For Muslim investors using HalalStocks.co.uk, DRVN is currently classified as Doubtful. Although its core business activities of vehicle maintenance and parts distribution are perfectly halal, the stock fails the financial screening criteria due to a severe violation of the debt threshold. From an Islamic finance perspective, the primary concern with Driven Brands is its massive debt load, with a debt-to-market cap ratio reaching 191.1%, drastically exceeding the 33% AAOIFI limit. On a positive note, the company generates 0.00% in interest income and maintains a compliant cash-to-market cap ratio of 8.1%. Halal investors should avoid DRVN until the company significantly restructures its balance sheet and reduces its reliance on interest-bearing debt. Monitoring the stock's market capitalization and debt reduction efforts will be crucial for any future re-evaluation of its shariah compliance status. Driven Brands Holdings Inc. operates in the Consumer Cyclical sector under the Auto - Dealerships industry and is headquartered in Charlotte, NC, US. The company is led by CEO Daniel R. Rivera and employs approximately 10,700 people.
What screening criteria were used for DRVN?
DRVN 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. DRVN passed 3 of these 4 screens.
When was DRVN last screened?
DRVN was last screened on 2026-04-27. 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.

Disclaimer

This shariah compliance assessment for DRVN (Driven Brands Holdings Inc.) is provided for informational purposes only and does not constitute financial, investment, or religious advice. Screening criteria are based on widely accepted AAOIFI standards, but individual scholars may differ in their opinions. Always consult with a qualified Islamic scholar and licensed financial advisor before making investment decisions. Past screening status does not guarantee future compliance. Last screened: 2026-04-27.

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