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Is UHS (Universal Health Services, Inc.) Halal or Haram?

New York Stock ExchangeHealthcareMedical - Care Facilities$10.18B2026-04-29
UHS is Doubtful3/4 screens passed

While Universal Health Services generates its revenue from permissible healthcare operations, it currently fails AAOIFI shariah compliance standards due to excessive leverage. The company's debt-to-market cap ratio stands at a concerning 54.1%, significantly exceeding the 33% maximum threshold, making it doubtful for Islamic portfolios despite passing the interest income and cash screens.

Price Chart (5D)

$146.30+2.74 (+1.91%)
2026-06-092026-06-02

UHS — Last 7 Days

DateOpenHighLowCloseVolumeChange
2026-06-09143.27146.75141.72145.68660K+1.68%
2026-06-08145.17145.43140.08142.871.4M-1.58%
2026-06-05144.60148.58144.00145.171.3M+0.39%
2026-06-04147.40148.89142.00142.721.1M-3.18%
2026-06-03142.00146.95140.76145.981.4M+2.80%
2026-06-02144.90146.67142.34142.551.1M-1.62%
2026-06-01145.04146.06142.69144.691.4M-0.24%

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Shariah Screening Details for UHS

Business Activity

Permissible

Universal Health Services passes the business activity screen because operating acute care hospitals, behavioral health facilities, and providing essential medical services is fundamentally permissible in Islamic finance.

Debt / Market Cap

54.12%

Debt: $5.51BThreshold: ≤33%

Interest Income

0.01%

Interest: $1.2MThreshold: ≤5%

Cash & Securities

1.35%

Cash: $137.8MThreshold: ≤33%

About Universal Health Services, Inc. (UHS)

Universal Health Services, Inc. (UHS) is a major healthcare provider that owns and operates acute care hospitals, behavioral health centers, and outpatient facilities. With hundreds of inpatient facilities, the company provides essential medical services ranging from general surgery and emergency room care to oncology and pediatric treatments.

For Muslim investors, UHS currently holds a Doubtful shariah compliance status based on AAOIFI standards. Although the core business of providing medical care is entirely permissible, the stock fails the financial screening process due to a high debt load, meaning it cannot be included in a strict halal portfolio at this time.

From an Islamic finance perspective, the primary concern is the company's debt-to-market capitalization ratio, which sits at 54.1% and violates the 33% threshold. On a positive note, its interest-bearing cash and securities represent only 1.4% of its market cap, and interest income is a negligible 0.01% of total revenue.

Because the underlying healthcare business is halal, Muslim investors should monitor UHS's balance sheet in the future. If the company successfully reduces its debt burden or its market capitalization increases enough to bring the debt ratio below 33%, it could potentially become a compliant investment option.

CEO

Marc D. Miller

Employees

78,400

IPO Date

1981-07-09

Headquarters

King of Prussia, PA, US

Website

uhs.com

UHS Key Financial Statistics

Revenue

$17.36B

Net Income

$1.49B

EPS (Diluted)

$23.10

Stock Price

162.54

Beta

1.29

52-Week Range

152.33-246.33

Total Debt

$5.51B

Total Equity

$7.28B

Current Ratio

1.05

UHS Financial Health & Profitability

Profit Margins

Gross Margin90.4%
Operating Margin11.5%
Net Margin8.6%

Revenue Growth (YoY)

+9.7%

Prior year: $15.83B

Net Debt

$5.37B

Cash: $137.8M — Debt: $5.51B

Frequently Asked Questions About UHS

Is UHS (Universal Health Services, Inc.) stock halal to invest in?
Based on our AAOIFI-standard shariah screening, UHS 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 UHS.
What does Universal Health Services, Inc. do?
Universal Health Services, Inc. (UHS) is a major healthcare provider that owns and operates acute care hospitals, behavioral health centers, and outpatient facilities. With hundreds of inpatient facilities, the company provides essential medical services ranging from general surgery and emergency room care to oncology and pediatric treatments. For Muslim investors, UHS currently holds a Doubtful shariah compliance status based on AAOIFI standards. Although the core business of providing medical care is entirely permissible, the stock fails the financial screening process due to a high debt load, meaning it cannot be included in a strict halal portfolio at this time. From an Islamic finance perspective, the primary concern is the company's debt-to-market capitalization ratio, which sits at 54.1% and violates the 33% threshold. On a positive note, its interest-bearing cash and securities represent only 1.4% of its market cap, and interest income is a negligible 0.01% of total revenue. Because the underlying healthcare business is halal, Muslim investors should monitor UHS's balance sheet in the future. If the company successfully reduces its debt burden or its market capitalization increases enough to bring the debt ratio below 33%, it could potentially become a compliant investment option. Universal Health Services, Inc. operates in the Healthcare sector under the Medical - Care Facilities industry and is headquartered in King of Prussia, PA, US. The company is led by CEO Marc D. Miller and employs approximately 78,400 people.
What screening criteria were used for UHS?
UHS 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. UHS passed 3 of these 4 screens.
When was UHS last screened?
UHS 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 UHS (Universal Health Services, 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: 2026-04-29.

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