Is SYY (Sysco Corporation) Halal or Haram?

Based on our AAOIFI-standard shariah screening, SYY 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 SYY.

Sysco Corporation is a global leader in marketing and distributing food products to the foodservice industry. The company supplies restaurants, hospitals, and schools with a wide range of goods, including frozen foods, fresh meats, seafood, dairy, and beverage products across North America and Europe. For Muslim investors, Sysco currently holds a Doubtful status based on AAOIFI screening standards. Although the company's core food distribution business is entirely permissible, it fails the financial screening criteria, meaning it cannot be considered fully halal at this time. The primary issue for Islamic investors is Sysco's excessive leverage, with a Debt to Market Cap ratio of 41.1%, well above the 33% limit. On a positive note, its interest-bearing securities and interest income are well within acceptable limits, at 3.0% and 0.00% respectively. Since the failure is purely financial rather than operational, Muslim investors should monitor Sysco's balance sheet in future quarters. If the company pays down its debt or its market capitalization increases significantly, it could cross back into shariah-compliant territory. Sysco Corporation operates in the Consumer Defensive sector under the Food Distribution industry and is headquartered in Houston, TX, US. The company is led by CEO Kevin Hourican and employs approximately 76,000 people.

SYY 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. SYY passed 3 of these 4 screens.

SYY 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.