Is ODD (Oddity Tech Ltd.) Halal or Haram?

Based on our AAOIFI-standard shariah screening, ODD is classified as Doubtful. It passed 3 of 4 compliance screens. Some scholars may permit investing with income purification, while others advise avoiding it. We recommend consulting a qualified Islamic scholar before investing in ODD.

Oddity Tech Ltd. is a consumer-tech company that disrupts the traditional beauty and wellness industry through artificial intelligence. Based in Tel Aviv, the company uses its proprietary PowerMatch technology to build digital-first brands, most notably offering cosmetics under the IL MAKIAGE brand and hair and skin care products through SpoiledChild. For Muslim investors, Oddity Tech currently holds a Doubtful shariah compliance status. While its core business operations and debt levels comfortably pass AAOIFI standards, the company fails the liquidity screen due to its large cash reserves. Specifically, its cash and interest-bearing securities make up 45.3% of its market cap, violating the strict 33% limit set by Islamic finance scholars. From an Islamic finance perspective, Oddity Tech boasts an exceptionally clean balance sheet regarding debt, with a debt-to-market cap ratio of just 4.5%. Additionally, its interest income remains permissible at 2.09% of total revenue, but the excessive cash hoarding presents a structural compliance issue for strict followers of AAOIFI rules. Investors should monitor the company's capital allocation strategy in upcoming quarters. If Oddity Tech utilizes its cash reserves for acquisitions, stock buybacks, or reinvestment into its technology infrastructure, the cash-to-market cap ratio could drop below the 33% threshold, potentially upgrading its status to fully compliant. Oddity Tech Ltd. operates in the Technology sector under the Software - Infrastructure industry and is headquartered in Tel Aviv-Jaffa, IL. The company is led by CEO Oran Holtzman and employs approximately 489 people.

ODD 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. ODD passed 3 of these 4 screens.

ODD was last screened on 2026-04-27. 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.