Is HOLO (MicroCloud Hologram Inc.) Halal or Haram?

Based on our AAOIFI-standard shariah screening, HOLO is Not Halal (Haram) and is not considered permissible for Muslim investors. It failed 2 of 4 compliance screens. Its interest income of 8.01% exceeds the ≤5% limit. Its cash & securities ratio of 4769.40% exceeds the ≤33% threshold.

MicroCloud Hologram Inc. is a China-based technology firm specializing in the research, development, and application of holographic technology. The company operates primarily through providing holographic digital twin technology services and maintaining a comprehensive resource library for holographic content. Their work spans various sectors, allowing for the creation of immersive 3D experiences without the need for wearable glasses, positioning them as a niche player in the visual technology hardware space. For Muslim investors, this stock is currently classified as Not Halal (Haram) based on AAOIFI standards. Although the core business of creating holographic software and hardware is compliant, the company fails two critical financial ratios. The most glaring issue is the Cash & Securities to Market Cap ratio, which sits at an alarming 4769 .4%, far exceeding the 33% limit, indicating the company holds a disproportionate amount of liquid assets relative to its market valuation. Financially, the company also struggles with the interest income screen. With 8.01% of its total revenue coming from interest-bearing sources, it breaches the 5% tolerance threshold set by Shariah scholars. However, it is worth noting that the company maintains a manageable debt load, with a Debt-to-Market Cap ratio of 23.4%, which is within the acceptable range. Given these significant financial failures, Muslim investors should avoid holding HOLO stock until the company restructures its asset holdings or revenue streams. Investors interested in the tech hardware sector should look for alternatives that manage their cash reserves in a more Shariah-compliant manner and rely less on interest income for their bottom line. MicroCloud Hologram Inc. operates in the Technology sector under the Hardware, Equipment & Parts industry and is headquartered in Shenzhen, CN. The company is led by CEO Guohui Kang and employs approximately 64 people.

HOLO 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. HOLO passed 2 of these 4 screens.

HOLO was last screened on 2026-02-25. 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.