Is TMO (Thermo Fisher Scientific Inc.) Halal or Haram?

Based on our AAOIFI-standard shariah screening, TMO 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 (23.31% vs ≤33% threshold), interest income ratio (2.23% vs ≤5% threshold), and cash & securities ratio (5.77% vs ≤33% threshold).

Thermo Fisher Scientific Inc. is a global leader in healthcare and life sciences, providing analytical instruments, specialty diagnostics, and laboratory products. The company supplies essential reagents and consumables used in the discovery and production of drugs, vaccines, and disease diagnostics across international markets. For Muslim investors, TMO represents a solid Halal investment opportunity within the medical diagnostics sector. The stock successfully passes all four AAOIFI shariah screens, meaning its core business activities and financial structures fully align with Islamic finance principles. From a financial perspective, the company demonstrates strong compliance with a debt-to-market cap ratio of 23.3%, safely below the 33% limit. Additionally, its interest income stands at a permissible 2.23% of revenue, highlighting a clean balance sheet that relies on core operational success rather than interest-bearing activities. While the stock is clearly compliant, halal investors should periodically monitor its debt levels and interest income to ensure they remain within AAOIFI thresholds as the company continues to expand its global biopharma services and make acquisitions. Thermo Fisher Scientific Inc. operates in the Healthcare sector under the Medical - Diagnostics & Research industry and is headquartered in Waltham, MA, US. The company is led by CEO Marc N. Casper and employs approximately 125,000 people.

TMO 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. TMO passed 4 of these 4 screens.

Although TMO passes all shariah screens, it does earn $993.0M in interest income (2.23% 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 $2.23 to purify the income.

TMO 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.