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Is EA (Electronic Arts Inc.) Halal or Haram?

NASDAQ Global SelectCommunication ServicesElectronic Gaming & Multimedia$50.61B2026-04-29
EA is Halal4/4 screens passed

Electronic Arts passes all AAOIFI Shariah screening criteria, making it a Halal stock for Muslim investors. Its financial metrics are exceptionally clean, with debt and cash-to-market cap ratios both sitting at a low 4.4%, well below the 33% limit. Furthermore, interest-bearing income accounts for only 1.67% of total revenue, easily clearing the 5% threshold.

Price Chart (5D)

$202.06-0.45 (-0.22%)
2026-05-012026-04-24

EA — Last 7 Days

DateOpenHighLowCloseVolumeChange
2026-05-01202.69202.69201.97202.091.2M-0.30%
2026-04-30202.28202.48201.78202.371.8M+0.04%
2026-04-29202.31202.80201.95202.671.3M+0.18%
2026-04-28203.47203.64202.31202.531.7M-0.46%
2026-04-27202.81203.36202.21202.451.8M-0.18%
2026-04-24202.64202.75202.22202.671.1M+0.01%
2026-04-23202.78202.97202.28202.511.3M-0.13%

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Shariah Screening Details for EA

Business Activity

Permissible

EA's core business of developing and publishing popular video games like Madden NFL and Apex Legends is permissible, provided the content avoids explicit haram themes like gambling.

Debt / Market Cap

4.38%

Debt: $2.22BThreshold: ≤33%

Interest Income

1.67%

Interest: $125.0MThreshold: ≤5%

Cash & Securities

4.44%

Cash: $2.25BThreshold: ≤33%

About Electronic Arts Inc. (EA)

Electronic Arts Inc. (EA) is a global leader in digital interactive entertainment, developing and publishing games for consoles, PCs, and mobile devices. The company is renowned for massive franchises across various genres, including sports titles like Madden NFL and EA Sports FC (formerly FIFA), as well as action and simulation hits like Apex Legends and The Sims.

For Muslim investors using HalalStocks.co.uk, EA represents a compliant investment opportunity in the gaming sector. The stock successfully passes all four AAOIFI Shariah screens, meaning both its core business activities and financial structures align with Islamic finance principles.

From a financial perspective, EA boasts an incredibly healthy balance sheet that is highly favorable for halal portfolios. The company's debt-to-market cap ratio is just 4.4%, and its interest income is minimal at 1.67% of total revenue, indicating very little reliance on interest-based leveraging or lending.

While the core business is halal, investors should remain mindful of the gaming industry's evolving monetization strategies, such as 'loot boxes' in games like FIFA Ultimate Team, which some scholars debate due to elements of chance. Monitoring the revenue share of these microtransactions is advisable to ensure ongoing compliance with Islamic values.

CEO

Andrew Wilson

Employees

13,700

IPO Date

1989-09-20

Headquarters

Redwood City, CA, US

Website

www.ea.com

EA Key Financial Statistics

Revenue

$7.46B

Net Income

$1.12B

EPS (Diluted)

$4.23

Stock Price

202.22

Beta

0.72

52-Week Range

141.19-204.89

Total Debt

$2.22B

Total Equity

$6.39B

Current Ratio

0.95

EA Financial Health & Profitability

Profit Margins

Gross Margin79.3%
Operating Margin20.4%
Net Margin15.0%

Revenue Growth (YoY)

-1.3%

Prior year: $7.56B

Net Debt

$82.0M

Cash: $2.14B — Debt: $2.22B

R&D Spending

$2.57B

% of Revenue

34.4%

Frequently Asked Questions About EA

Is EA (Electronic Arts Inc.) stock halal to invest in?
Based on our AAOIFI-standard shariah screening, EA 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 (4.38% vs ≤33% threshold), interest income ratio (1.67% vs ≤5% threshold), and cash & securities ratio (4.44% vs ≤33% threshold).
What does Electronic Arts Inc. do?
Electronic Arts Inc. (EA) is a global leader in digital interactive entertainment, developing and publishing games for consoles, PCs, and mobile devices. The company is renowned for massive franchises across various genres, including sports titles like Madden NFL and EA Sports FC (formerly FIFA), as well as action and simulation hits like Apex Legends and The Sims. For Muslim investors using HalalStocks.co.uk, EA represents a compliant investment opportunity in the gaming sector. The stock successfully passes all four AAOIFI Shariah screens, meaning both its core business activities and financial structures align with Islamic finance principles. From a financial perspective, EA boasts an incredibly healthy balance sheet that is highly favorable for halal portfolios. The company's debt-to-market cap ratio is just 4.4%, and its interest income is minimal at 1.67% of total revenue, indicating very little reliance on interest-based leveraging or lending. While the core business is halal, investors should remain mindful of the gaming industry's evolving monetization strategies, such as 'loot boxes' in games like FIFA Ultimate Team, which some scholars debate due to elements of chance. Monitoring the revenue share of these microtransactions is advisable to ensure ongoing compliance with Islamic values. Electronic Arts Inc. operates in the Communication Services sector under the Electronic Gaming & Multimedia industry and is headquartered in Redwood City, CA, US. The company is led by CEO Andrew Wilson and employs approximately 13,700 people.
What screening criteria were used for EA?
EA 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. EA passed 4 of these 4 screens.
Does EA require income purification?
Although EA passes all shariah screens, it does earn $125.0M in interest income (1.67% 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 $1.67 to purify the income.
When was EA last screened?
EA 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.

Disclaimer

This shariah compliance assessment for EA (Electronic Arts 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: 2026-04-29.

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