Is LG Chem (051910) Halal?
Shariah Screening — 5 Standards
Based on financial data from December 2025
| Standard | Debt Ratio | Cash Ratio | Receivables | Income | Status |
|---|---|---|---|---|---|
| AAOIFI | 107.1% / 30% | 31.6% / 30% | 32.0% / 30% | 0.72% / 5% | ✗ NOT HALAL |
| DJIM | 107.1% / 33% | 31.6% / 33% | 32.0% / 33% | 0.72% / 5% | ✗ NOT HALAL |
| MSCI | 29.2% / 33% | 8.6% / 33% | 8.7% / 33% | 0.72% / 5% | ✓ HALAL |
| S&P | 107.1% / 33% | 31.6% / 33% | 32.0% / 33% | 0.72% / 5% | ✗ NOT HALAL |
| FTSE | 29.2% / 33% | 8.6% / 33% | 8.7% / 50% | 0.72% / 5% | ✓ HALAL |
Financial Highlights
Profitability
| Gross Margin | 17.0% | |
| Operating Margin | -3.7% | |
| Net Margin | -4.0% | |
| Return on Equity (ROE) | -3.8% | |
| Return on Assets (ROA) | -0.3% |
Cash Flow & Balance Sheet
| Operating Cash Flow | $8.2T |
| Free Cash Flow | -$5.6T |
| Total Debt | $33.8T |
| Debt-to-Equity | 71.8 |
| Current Ratio | 1.1 |
| Total Assets | $101.1T |
Price & Trading
| Last Close | KRW 314,000.00 |
| 50-Day MA | KRW 327,130.00 |
| 200-Day MA | KRW 316,577.50 |
| Avg Volume | 393K |
| Beta | 1.2 |
|
52-Week Range
KRW 181,500.00
| |
About LG Chem (051910)
LG Chem, Ltd., together with its subsidiaries, operates as a chemical company in Korea, China, Asia/Oceania, the United States, Europe, and internationally. It offers ethylene-based synthetic resin products, such as ethylene vinyl acetate, high density polyethylene, low density polyethylene, linear low-density polyethylene, polyolefin elastomer, polyvinyl chloride, metallocene PE, and UNIQABLE, a recyclable all-PE packaging solution; and styrene-based synthetic resin, including acrylonitrile butadiene styrene, acrylonitrile styrene acrylate, expandable polystyrene, polystyrene, styrene acrylonitrile copolymer. The company also provides polycarbonate, a benzene-based synthetic resin product; polypropylene, a propylene-based synthetic resin; superabsorbent polymer; butadiene rubber, nitrile butadiene rubber, nitrile butadiene rubber latex, styrene butadiene latex, and solution styrene butadiene rubber; caustic soda; plasticizer; and base oil. In addition, it offers bisphenol A; acrylate, alcohol, isopropyl alcohol, methacrylate butadiene styrene, neopentyl glycol, and styrene butadiene styrene; aerogel; anode binder and carbon nanotube; KEYFLEX BT, KEYFLEX TO, LUCEL, LUCON, LUMID/LUXY, LUMILOY, LUMIPLAS, LUPOL, LUPOS, LUPOX/LUMAX, LUPOY, and LUSEP high-performance plastics; display materials; adhesives for automotive bodyshop and cathode material paintshop, cathode material, dispersant for conductive agent, flame barrier material, and separators. Further, the company provides semiconductor materials and automobiles materials; life science products for arthritis, diabetes, growth hormone, fertility, anemia, anti-adhesive agent, antimicrobials, bovine somatotropin, vaccines, and crop protection agents. LG Chem, Ltd. was founded in 1947 and is headquartered in Seoul, South Korea.
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Frequently Asked Questions
Is LG Chem (051910) halal to invest in?
Based on our screening using AAOIFI Standard 21 (the strictest methodology), LG Chem is Not Halal. The company fails one or more screening criteria. We screen against all 5 major standards: AAOIFI, DJIM, MSCI, S&P, and FTSE.
What is LG Chem's debt ratio?
LG Chem's debt ratio is 107.1% under the AAOIFI standard (which uses market capitalization as the denominator). The AAOIFI threshold is 30%. Under MSCI and FTSE (which use total assets as the denominator), the debt ratio is 29.2%.
What are LG Chem's key financial metrics?
LG Chem has a market capitalization of $24.5T, and revenue of $45.9T. The company maintains a gross margin of 17.0% and a net margin of -4.0%. Return on equity stands at -3.8%.
How often is the screening data updated?
Our screening data is updated regularly using the latest available financial statements and market data. Stock prices and market caps are refreshed frequently, while financial statements are updated quarterly when companies report earnings.
Disclaimer: HalalStockGuide.com provides Shariah compliance screening for educational and informational purposes only. This is not a fatwa, financial advice, or a recommendation to buy or sell any security. Screening results are based on publicly available financial data and established methodologies. Always consult a qualified Islamic scholar and a licensed financial advisor before making investment decisions.