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Is XYL (Xylem Inc.) Halal or Haram?

New York Stock ExchangeIndustrialsIndustrial - Machinery$28.43B2026-04-29
XYL is Halal4/4 screens passed

Xylem Inc. comfortably passes all AAOIFI Shariah screening criteria, making it a compliant investment. The company maintains an exceptionally clean balance sheet with a debt-to-market cap ratio of just 6.8% and cash reserves at 5.2%, both well below the 33% threshold. Furthermore, its interest income is negligible at 0.00%, easily satisfying the revenue purification requirements.

Price Chart (5D)

$115.38-6.20 (-5.10%)
2026-05-012026-04-24

XYL — Last 7 Days

DateOpenHighLowCloseVolumeChange
2026-05-01118.28119.02114.86115.371.9M-2.46%
2026-04-30115.88118.38114.79118.162.5M+1.97%
2026-04-29117.79118.39114.15115.402.7M-2.03%
2026-04-28125.01125.01117.18117.913.4M-5.68%
2026-04-27122.41123.68121.12123.513.0M+0.90%
2026-04-24120.94121.96119.83121.462.2M+0.43%
2026-04-23122.01122.84120.37121.692.4M-0.26%

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Shariah Screening Details for XYL

Business Activity

Permissible

Xylem's business of designing and manufacturing water infrastructure, wastewater pumps, and filtration equipment is fully permissible, as it provides essential, non-prohibited industrial solutions.

Debt / Market Cap

6.83%

Debt: $1.94BThreshold: ≤33%

Interest Income

0.00%

Interest: $0Threshold: ≤5%

Cash & Securities

5.20%

Cash: $1.48BThreshold: ≤33%

About Xylem Inc. (XYL)

Xylem Inc. is a global leader in water technology, designing and manufacturing engineered solutions for water and wastewater applications. Operating through segments like Water Infrastructure and Applied Water, the company provides essential products such as storm water pumps, biological treatment equipment, and filtration systems under brands like Flygt and Godwin.

For Muslim investors utilizing HalalStocks.co.uk, Xylem represents a solid Halal investment opportunity within the industrials sector. The stock successfully passes all four AAOIFI screening criteria, meaning its core business operations and financial structures align completely with Islamic finance principles.

From an Islamic finance perspective, Xylem's financial health is robust and highly compliant. The company carries very low leverage, with a debt-to-market cap ratio of only 6.8%, and generates 0.00% in non-permissible interest income, meaning investors do not need to worry about heavy dividend purification.

Since there are no major scholarly debates regarding the permissibility of water infrastructure, the primary focus for Islamic investors should simply be monitoring the company's debt levels in future earnings reports to ensure they remain below the 33% AAOIFI threshold.

CEO

Matthew Francis Pine

Employees

23,000

IPO Date

2011-10-13

Headquarters

Washington, DC, US

XYL Key Financial Statistics

Revenue

$9.04B

Net Income

$957.0M

EPS (Diluted)

$3.92

Stock Price

118.07

Beta

1.17

52-Week Range

116.05-154.27

Total Debt

$1.94B

Total Equity

$11.48B

Current Ratio

1.63

XYL Financial Health & Profitability

Profit Margins

Gross Margin38.5%
Operating Margin13.5%
Net Margin10.6%

Revenue Growth (YoY)

+5.5%

Prior year: $8.56B

Net Debt

$463.0M

Cash: $1.48B — Debt: $1.94B

R&D Spending

$226.0M

% of Revenue

2.5%

Frequently Asked Questions About XYL

Is XYL (Xylem Inc.) stock halal to invest in?
Based on our AAOIFI-standard shariah screening, XYL 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 (6.83% vs ≤33% threshold), interest income ratio (0.00% vs ≤5% threshold), and cash & securities ratio (5.20% vs ≤33% threshold).
What does Xylem Inc. do?
Xylem Inc. is a global leader in water technology, designing and manufacturing engineered solutions for water and wastewater applications. Operating through segments like Water Infrastructure and Applied Water, the company provides essential products such as storm water pumps, biological treatment equipment, and filtration systems under brands like Flygt and Godwin. For Muslim investors utilizing HalalStocks.co.uk, Xylem represents a solid Halal investment opportunity within the industrials sector. The stock successfully passes all four AAOIFI screening criteria, meaning its core business operations and financial structures align completely with Islamic finance principles. From an Islamic finance perspective, Xylem's financial health is robust and highly compliant. The company carries very low leverage, with a debt-to-market cap ratio of only 6.8%, and generates 0.00% in non-permissible interest income, meaning investors do not need to worry about heavy dividend purification. Since there are no major scholarly debates regarding the permissibility of water infrastructure, the primary focus for Islamic investors should simply be monitoring the company's debt levels in future earnings reports to ensure they remain below the 33% AAOIFI threshold. Xylem Inc. operates in the Industrials sector under the Industrial - Machinery industry and is headquartered in Washington, DC, US. The company is led by CEO Matthew Francis Pine and employs approximately 23,000 people.
What screening criteria were used for XYL?
XYL 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. XYL passed 4 of these 4 screens.
Does XYL require income purification?
XYL 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 XYL last screened?
XYL 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 XYL (Xylem 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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