Is Tokyo Electron (8035) Halal?

TSE Technology Japan $17.9T
✓ HALAL
Confidence: 83/100
Tokyo Electron (8035) is Halal under all 5 major Shariah screening standards. With a debt ratio of just 0.0% against the AAOIFI threshold of 30%, Tokyo Electron comfortably passes the key financial ratio tests. The company operates in the Technology sector (Semiconductor Equipment & Materials), which is not a prohibited industry under Islamic finance principles.

Shariah Screening — 5 Standards

Based on financial data from March 2025

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI 0.0%
/ 30%
2.6%
/ 30%
2.5%
/ 30%
0.09%
/ 5%
✓ HALAL
DJIM 0.0%
/ 33%
2.6%
/ 33%
2.5%
/ 33%
0.09%
/ 5%
✓ HALAL
MSCI 0.0%
/ 33%
18.9%
/ 33%
18.5%
/ 33%
0.09%
/ 5%
✓ HALAL
S&P 0.0%
/ 33%
2.6%
/ 33%
2.5%
/ 33%
0.09%
/ 5%
✓ HALAL
FTSE 0.0%
/ 33%
18.9%
/ 33%
18.5%
/ 50%
0.09%
/ 5%
✓ HALAL

Financial Highlights

P/E Ratio
33.3
Forward: 30.7
EPS
$1,178.70
Dividend Yield
153.0%
Payout: 50.2%
P/B Ratio
9.0
EV/EBITDA
25.9
EV: $17.6T
Revenue
$2.4T
Growth: -15.7%
Beta
1.3
High volatility
Current Ratio
3.1

Profitability

Gross Margin 45.5%
Operating Margin 21.0%
Net Margin 21.1%
Return on Equity (ROE) 26.5%
Return on Assets (ROA) 14.7%

Cash Flow & Balance Sheet

Operating Cash Flow$582.2B
Free Cash Flow$414.1B
Current Ratio3.1
Total Assets$2.6T

Price & Trading

Last CloseJPY 40,530.00
50-Day MAJPY 41,444.60
200-Day MAJPY 31,417.68
Avg Volume3.5M
Beta1.3
52-Week Range
JPY 16,560.00
JPY 46,600.00

About Tokyo Electron (8035)

CEO
Mr. Tony Kawai
Employees
19,573
Sector
Technology
Industry
Semiconductor Equipment & Materials
Country
Japan
Exchange
TSE
Market Cap
$17.9T
Currency
JPY

Tokyo Electron Limited, together with its subsidiaries, develops, manufactures, and sells semiconductor production equipment in Japan, South Korea, Taiwan, China, North America, Europe, and internationally. The company provides coaters/developers, plasma etch systems, cleaning systems, deposition systems, test systems, 3D integration systems, SiC Epitaxial CVD systems, and gas cluster beam systems, as well as other deposition and lithography and other products. It also offers engineering services; spare parts/repairs; upgrades/modification; and used products. The company was incorporated in 1951 and is based in Tokyo, Japan.

Purification Calculator

As a halal stock with 0.09% impermissible income, you need to purify your dividends.

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Frequently Asked Questions

Is Tokyo Electron (8035) halal to invest in?

Based on our screening using AAOIFI Standard 21 (the strictest methodology), Tokyo Electron is Halal. The company passes all financial ratio thresholds for debt, cash, receivables, and impermissible income. We screen against all 5 major standards: AAOIFI, DJIM, MSCI, S&P, and FTSE.

What is Tokyo Electron's debt ratio?

Tokyo Electron's debt ratio is 0.0% 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 0.0%.

Does Tokyo Electron require dividend purification?

Yes, Tokyo Electron has an impermissible income ratio of 0.09%, which means 0.09% of any dividends received should be donated to charity as purification. This is because a small portion of the company's revenue comes from non-Shariah-compliant sources.

What are Tokyo Electron's key financial metrics?

Tokyo Electron has a market capitalization of $17.9T, trailing P/E ratio of 33.3, and revenue of $2.4T. The company maintains a gross margin of 45.5% and a net margin of 21.1%. Return on equity stands at 26.5%.

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.