Is AbbVie Inc. (ABBV) Halal?

NYSE Healthcare United States $370.4B
✓ HALAL
Confidence: 95/100
AbbVie Inc. (ABBV) is Halal under 3 of 5 Shariah screening standards, including AAOIFI Standard 21. With a debt ratio of just 16.6% against the AAOIFI threshold of 30%, AbbVie Inc. comfortably passes the key financial ratio tests. The company operates in the Healthcare sector (Drug Manufacturers - General), which is not a prohibited industry under Islamic finance principles.

Shariah Screening — 5 Standards

Based on financial data from December 2025

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI 16.6%
/ 30%
1.3%
/ 30%
3.1%
/ 30%
0.43%
/ 5%
✓ HALAL
DJIM 16.6%
/ 33%
1.3%
/ 33%
3.1%
/ 33%
0.43%
/ 5%
✓ HALAL
MSCI 50.4%
/ 33%
3.9%
/ 33%
9.4%
/ 33%
0.43%
/ 5%
✗ NOT HALAL
S&P 16.6%
/ 33%
1.3%
/ 33%
3.1%
/ 33%
0.43%
/ 5%
✓ HALAL
FTSE 50.4%
/ 33%
3.9%
/ 33%
9.4%
/ 50%
0.43%
/ 5%
✗ NOT HALAL

Financial Highlights

P/E Ratio
88.4
Forward: 13.0
EPS
$2.37
Dividend Yield
330.0%
Payout: 276.8%
P/B Ratio
-113.2
EV/EBITDA
14.8
EV: $433.4B
Revenue
$61.2B
Growth: 10.0%
Beta
0.3
Low volatility
Current Ratio
0.7

Profitability

Gross Margin 71.6%
Operating Margin 34.1%
Net Margin 6.9%
Return on Equity (ROE) 6225.0%
Return on Assets (ROA) 9.8%

Cash Flow & Balance Sheet

Operating Cash Flow$19.0B
Free Cash Flow$17.8B
Total Debt$67.5B
Current Ratio0.7
Total Assets$134.0B

Price & Trading

Last Close$211.12
50-Day MA$221.74
200-Day MA$215.72
Avg Volume7.1M
Beta0.3
52-Week Range
$164.39
$244.81

About AbbVie Inc. (ABBV)

CEO
Mr. Robert A. Michael C.P.A.
Employees
57,000
Sector
Healthcare
Industry
Drug Manufacturers - General
Country
United States
Exchange
NYSE
Market Cap
$370.4B
Currency
USD

AbbVie Inc., a research-based biopharmaceutical company, engages in the research and development, manufacturing, commercializing, and sale of medicines and therapies worldwide. The company offers Skyrizi to treat autoimmune diseases; Rinvoq to treat inflammatory diseases; Imbruvica for the treatment of adult patients with blood cancers; Venclexta to treat blood cancers; Elahere to treat various cancer; and Epkinly to treat lymphoma; and Emrelis for the treatment of lung cancer. It also provides facial injectables, plastics and regenerative medicine, body contouring, and skincare products; botox Cosmetic for the treatment of glabellar lines, crow's feet, forehead lines, and platysma bands; Juvederm Collection to treat volume loss in the temples, undereye, cheeks, chin, lips and lower face; Vraylar to treat schizophrenia, bipolar disorder, and depressive disorder; Duodopa to treat Parkinson's disease; Ubrelvy to treat migraine; Qulipta for episodic and chronic migraine; and Vyalev for the treatment of motor fluctuations, as well as Botox Therapeutic to treat chronic migraine, overactive bladder, spasticity, cervical dystonia, and other conditions. In addition, the company offers Ozurdex for visual impairment; Lumigan/Ganfort and Alphagan/Combigan for the reduction of elevated intraocular pressure in patients with open angle glaucoma or ocular hypertension; and other eye care products, including Refresh/Optive, Xen, Durysta, and Restasis. Further, it provides Mavyret to treat chronic hepatitis C virus genotype 1-6 infection; Creon, a pancreatic enzyme therapy; and Linzess/Constella to treat irritable bowel syndrome with constipation and chronic idiopathic constipation. The company was incorporated in 2012 and is headquartered in North Chicago, Illinois.

Purification Calculator

As a halal stock with 0.43% impermissible income, you need to purify your dividends.

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Frequently Asked Questions

Is AbbVie Inc. (ABBV) halal to invest in?

Based on our screening using AAOIFI Standard 21 (the strictest methodology), AbbVie Inc. 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 AbbVie Inc.'s debt ratio?

AbbVie Inc.'s debt ratio is 16.6% 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 50.4%.

Does AbbVie Inc. require dividend purification?

Yes, AbbVie Inc. has an impermissible income ratio of 0.43%, which means 0.43% 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 AbbVie Inc.'s key financial metrics?

AbbVie Inc. has a market capitalization of $370.4B, trailing P/E ratio of 88.4, and revenue of $61.2B. The company maintains a gross margin of 71.6% and a net margin of 6.9%. Return on equity stands at 6225.0%.

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.