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Is META (Meta Platforms, Inc.) Halal or Haram?

NASDAQ Global SelectTechnologyInternet Content & Information$1.61T2026-02-24
META is Halal4/4 screens passed

Meta Platforms passes all AAOIFI financial screens with significant margins, notably maintaining a very low debt-to-market cap ratio of 5.2%. Their interest income is minimal at 1.32% of total revenue, well below the 5% purification threshold, making the stock financially sound for Shariah-compliant portfolios.

Shariah Screening Details for META

Business Activity

Permissible

Meta's core business of connecting users through social platforms like Facebook and Instagram is permissible, provided the content consumed is generally lawful.

Debt / Market Cap

5.22%

Debt: $83.90BThreshold: ≤33%

Interest Income

1.32%

Interest: $2.66BThreshold: ≤5%

Cash & Securities

5.08%

Cash: $81.59BThreshold: ≤33%

About Meta Platforms, Inc. (META)

Meta Platforms is the dominant force in social connectivity, operating the world's largest digital ecosystem through its Family of Apps segment, which includes Facebook, Instagram, Messenger , and WhatsApp. Beyond social media, the company is investing heavily in the future of the metaverse through its Reality Labs division , developing virtual reality hardware like the Quest headsets. This dual focus allows them to control both the software people use to connect daily and the hardware that may define the next generation of computing.

For Muslim investors, Meta is currently classified as Halal, having passed all four AAOIFI screening criteria. The company's primary revenue source is digital advertising, which is generally permissible , unlike industries reliant on interest or prohibited goods. Because it meets the strict financial thresholds regarding debt and interest-bearing assets, you can include META in your portfolio without the need for immediate purification of the principal investment.

Financially, Meta is exceptionally clean from an Islamic finance perspective, boasting a debt-to-market cap ratio of just 5.2%, far below the 33% limit. Furthermore, the company holds a significant amount of cash but keeps interest income relatively low at 1.32% of revenue, demonstrating efficient capital management without relying heavily on impermissible income streams. This low leverage makes it a robust option for conservative halal investors seeking exposure to big tech.

While the stock is compliant , investors should remain aware of the 'impermissible income' generated from interest on their large cash reserves. Although it falls below the 5% limit, conscientious investors often choose to purify this small portion of their dividends or gains by donating 1.32 % of the profit to charity to ensure their earnings remain entirely pure.

CEO

Mark Elliot Zuckerberg

Employees

76,834

IPO Date

2012-05-18

Headquarters

Menlo Park, CA, US

META Key Financial Statistics

Revenue

$200.97B

Net Income

$60.46B

EPS (Diluted)

$23.49

Stock Price

637.25

Beta

1.28

52-Week Range

479.8-796.25

Total Debt

$83.90B

Total Equity

$217.24B

Current Ratio

2.60

META Financial Health & Profitability

Profit Margins

Gross Margin82.0%
Operating Margin41.4%
Net Margin30.1%

Revenue Growth (YoY)

+22.2%

Prior year: $164.50B

Net Debt

$48.02B

Cash: $35.87B — Debt: $83.90B

R&D Spending

$57.37B

% of Revenue

28.5%

Frequently Asked Questions About META

Is META (Meta Platforms, Inc.) stock halal to invest in?
Based on our AAOIFI-standard shariah screening, META 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 (5.22% vs ≤33% threshold), interest income ratio (1.32% vs ≤5% threshold), and cash & securities ratio (5.08% vs ≤33% threshold).
What does Meta Platforms, Inc. do?
Meta Platforms is the dominant force in social connectivity, operating the world's largest digital ecosystem through its Family of Apps segment, which includes Facebook, Instagram, Messenger , and WhatsApp. Beyond social media, the company is investing heavily in the future of the metaverse through its Reality Labs division , developing virtual reality hardware like the Quest headsets. This dual focus allows them to control both the software people use to connect daily and the hardware that may define the next generation of computing. For Muslim investors, Meta is currently classified as Halal, having passed all four AAOIFI screening criteria. The company's primary revenue source is digital advertising, which is generally permissible , unlike industries reliant on interest or prohibited goods. Because it meets the strict financial thresholds regarding debt and interest-bearing assets, you can include META in your portfolio without the need for immediate purification of the principal investment. Financially, Meta is exceptionally clean from an Islamic finance perspective, boasting a debt-to-market cap ratio of just 5.2%, far below the 33% limit. Furthermore, the company holds a significant amount of cash but keeps interest income relatively low at 1.32% of revenue, demonstrating efficient capital management without relying heavily on impermissible income streams. This low leverage makes it a robust option for conservative halal investors seeking exposure to big tech. While the stock is compliant , investors should remain aware of the 'impermissible income' generated from interest on their large cash reserves. Although it falls below the 5% limit, conscientious investors often choose to purify this small portion of their dividends or gains by donating 1.32 % of the profit to charity to ensure their earnings remain entirely pure. Meta Platforms, Inc. operates in the Technology sector under the Internet Content & Information industry and is headquartered in Menlo Park, CA, US. The company is led by CEO Mark Elliot Zuckerberg and employs approximately 76,834 people.
What screening criteria were used for META?
META 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. META passed 4 of these 4 screens.
Does META require income purification?
Although META passes all shariah screens, it does earn $2.66B in interest income (1.32% 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 $1.32 to purify the income.
When was META last screened?
META 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.

Disclaimer

This shariah compliance assessment for META (Meta Platforms, 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: 2026-02-24.

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