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Is NXPI (NXP Semiconductors N.V.) Halal or Haram?

NASDAQ Global SelectTechnologySemiconductors$58.22B2026-04-29
NXPI is Halal4/4 screens passed

NXP Semiconductors N.V. fully complies with AAOIFI shariah standards, making it a halal investment option. The company operates in the permissible semiconductor industry and maintains excellent financial health, with a debt-to-market cap ratio of 21.0% and cash and securities standing at just 5.6% of its market cap. Additionally, its interest-bearing income is virtually non-existent at 0.00%, well below the strict 5% limit.

Price Chart (5D)

$295.24+52.52 (+21.64%)
2026-05-012026-04-24

NXPI — Last 7 Days

DateOpenHighLowCloseVolumeChange
2026-05-01291.60296.00285.51295.242.8M+1.25%
2026-04-30289.44294.34279.77293.595.1M+1.43%
2026-04-29281.41292.85278.07289.2510.7M+2.79%
2026-04-28232.89237.94228.41230.394.7M-1.07%
2026-04-27242.33243.55232.41236.874.0M-2.25%
2026-04-24244.34245.20240.66244.043.6M-0.12%
2026-04-23234.03244.72231.00241.164.6M+3.05%

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Shariah Screening Details for NXPI

Business Activity

Permissible

NXP Semiconductors passes the business activity screen because its core operations—designing and manufacturing microcontrollers, wireless connectivity solutions, and application processors—are inherently permissible and free from haram elements.

Debt / Market Cap

20.99%

Debt: $12.22BThreshold: ≤33%

Interest Income

0.00%

Interest: $0Threshold: ≤5%

Cash & Securities

5.61%

Cash: $3.27BThreshold: ≤33%

About NXP Semiconductors N.V. (NXPI)

NXP Semiconductors N.V. is a major player in the global technology sector, specializing in advanced semiconductor products. The company's diverse portfolio includes microcontrollers, i.MX application processors, and cutting-edge wireless connectivity solutions like near field communications (NFC) and ultra-wideband technology.

For Muslim investors, NXPI is an attractive option as it successfully passes all four AAOIFI shariah screening criteria and is classified as Halal. The core business of manufacturing hardware components is entirely permissible, meaning your investment supports a fundamentally halal enterprise without exposure to prohibited industries.

From an Islamic finance perspective, NXP Semiconductors demonstrates strong balance sheet management. The company's debt-to-market cap ratio sits at a comfortable 21.0%, while its interest income relative to revenue is 0.00%, ensuring minimal exposure to riba-based earnings.

While the stock is currently fully compliant, Muslim investors should continue to monitor its debt levels and future acquisitions. As the semiconductor industry is highly capital-intensive, future expansion could potentially increase the company's reliance on interest-bearing debt, which must remain below the 33% AAOIFI threshold to maintain its halal status.

CEO

Rafael Sotomayor

Employees

33,100

IPO Date

2010-08-06

Headquarters

Eindhoven, NL

NXPI Key Financial Statistics

Revenue

$12.27B

Net Income

$2.02B

EPS (Diluted)

$7.95

Stock Price

230.39

Beta

1.47

52-Week Range

176.26-256.36

Total Debt

$12.22B

Total Equity

$10.06B

Current Ratio

2.05

NXPI Financial Health & Profitability

Profit Margins

Gross Margin54.4%
Operating Margin27.0%
Net Margin16.5%

Revenue Growth (YoY)

-2.7%

Prior year: $12.61B

Net Debt

$8.96B

Cash: $3.27B — Debt: $12.22B

R&D Spending

$2.25B

% of Revenue

18.3%

Frequently Asked Questions About NXPI

Is NXPI (NXP Semiconductors N.V.) stock halal to invest in?
Based on our AAOIFI-standard shariah screening, NXPI 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 (20.99% vs ≤33% threshold), interest income ratio (0.00% vs ≤5% threshold), and cash & securities ratio (5.61% vs ≤33% threshold).
What does NXP Semiconductors N.V. do?
NXP Semiconductors N.V. is a major player in the global technology sector, specializing in advanced semiconductor products. The company's diverse portfolio includes microcontrollers, i.MX application processors, and cutting-edge wireless connectivity solutions like near field communications (NFC) and ultra-wideband technology. For Muslim investors, NXPI is an attractive option as it successfully passes all four AAOIFI shariah screening criteria and is classified as Halal. The core business of manufacturing hardware components is entirely permissible, meaning your investment supports a fundamentally halal enterprise without exposure to prohibited industries. From an Islamic finance perspective, NXP Semiconductors demonstrates strong balance sheet management. The company's debt-to-market cap ratio sits at a comfortable 21.0%, while its interest income relative to revenue is 0.00%, ensuring minimal exposure to riba-based earnings. While the stock is currently fully compliant, Muslim investors should continue to monitor its debt levels and future acquisitions. As the semiconductor industry is highly capital-intensive, future expansion could potentially increase the company's reliance on interest-bearing debt, which must remain below the 33% AAOIFI threshold to maintain its halal status. NXP Semiconductors N.V. operates in the Technology sector under the Semiconductors industry and is headquartered in Eindhoven, NL. The company is led by CEO Rafael Sotomayor and employs approximately 33,100 people.
What screening criteria were used for NXPI?
NXPI 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. NXPI passed 4 of these 4 screens.
Does NXPI require income purification?
NXPI has negligible interest income, so purification may not be necessary. However, it is always advisable to consult a qualified scholar regarding your specific investment situation.
When was NXPI last screened?
NXPI 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 NXPI (NXP Semiconductors N.V.) 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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