Is EPAM (EPAM Systems, Inc.) Halal or Haram?

Based on our AAOIFI-standard shariah screening, EPAM 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 (2.39% vs ≤33% threshold), interest income ratio (0.28% vs ≤5% threshold), and cash & securities ratio (21.52% vs ≤33% threshold).

EPAM Systems, Inc. is a global provider of digital platform engineering and software development services. The company specializes in infrastructure management, cross-platform migration, and custom software integration for various enterprises. For Muslim investors, EPAM is an excellent example of a fully Halal stock within the technology sector. It successfully passes all four AAOIFI screening criteria, meaning its core business and financial structure align with Islamic finance principles. From an Islamic finance perspective, EPAM's balance sheet is incredibly strong, highlighted by a minimal debt-to-market cap ratio of just 2.4%. Furthermore, the company's reliance on interest-generating activities is virtually non-existent, with interest income accounting for only 0.28% of its total revenue. Since EPAM's IT services are universally permissible and its financials are robust, there is no significant scholarly debate regarding its compliance. However, investors should continue to monitor its cash reserves and debt levels in future earnings reports to ensure they remain below the 33% AAOIFI threshold. EPAM Systems, Inc. operates in the Technology sector under the Information Technology Services industry and is headquartered in Newtown, PA, US. The company is led by CEO Balazs Fejes and employs approximately 61,200 people.

EPAM 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. EPAM passed 4 of these 4 screens.

Although EPAM passes all shariah screens, it does earn $15.0M in interest income (0.28% 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 $0.28 to purify the income.

EPAM 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.