Is Adeia Inc. (ADEA) Halal?

NASDAQ Technology United States $2.7B
✓ HALAL
Confidence: 83/100
Adeia Inc. (ADEA) is Halal under 3 of 5 Shariah screening standards, including AAOIFI Standard 21. With a debt ratio of just 22.3% against the AAOIFI threshold of 30%, Adeia Inc. comfortably passes the key financial ratio tests. The company operates in the Technology sector (Software - Application), 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 22.3%
/ 30%
5.1%
/ 30%
6.4%
/ 30%
N/A ✓ HALAL
DJIM 22.3%
/ 33%
5.1%
/ 33%
6.4%
/ 33%
N/A ✓ HALAL
MSCI 44.2%
/ 33%
10.1%
/ 33%
12.6%
/ 33%
N/A ✗ NOT HALAL
S&P 22.3%
/ 33%
5.1%
/ 33%
6.4%
/ 33%
N/A ✓ HALAL
FTSE 44.2%
/ 33%
10.1%
/ 33%
12.6%
/ 50%
N/A ✗ NOT HALAL

Financial Highlights

P/E Ratio
24.4
Forward: 16.2
EPS
$0.99
Dividend Yield
83.0%
Payout: 20.2%
P/B Ratio
5.5
EV/EBITDA
11.3
EV: $2.9B
Revenue
$443M
Growth: 53.3%
Beta
0.9
Average volatility
Current Ratio
3.8

Profitability

Gross Margin 100.0%
Operating Margin 63.1%
Net Margin 25.1%
Return on Equity (ROE) 25.3%
Return on Assets (ROA) 11.7%

Cash Flow & Balance Sheet

Operating Cash Flow$158M
Free Cash Flow$149M
Total Debt$428M
Debt-to-Equity89.0
Current Ratio3.8
Total Assets$1.0B

Price & Trading

Last Close$24.36
50-Day MA$20.47
200-Day MA$16.43
Avg Volume863K
Beta0.9
52-Week Range
$10.59
$26.09

About Adeia Inc. (ADEA)

CEO
Mr. Paul E. Davis J.D.
Employees
150
Website
Sector
Technology
Industry
Software - Application
Country
United States
Exchange
NASDAQ
Market Cap
$2.7B
Currency
USD

Adeia Inc., together with its subsidiaries, operates as a media and semiconductor intellectual property licensing platform company in the United States, Asia, Canada, Europe, the Middle East, and internationally. The company licenses its patent portfolios across various markets, including multichannel video programming distributors comprising cable, satellite, and telecommunications television providers that aggregate and distribute linear content over networks, as well as television providers that aggregate and stream linear content over broadband networks; over-the-top video service providers, such as subscription video-on-demand and free advertising-supported streaming service providers, providers that offer online services and devices that enable internet streaming and downloading of movies, television shows, music and other types of media content, as well as content providers, networks, and media companies. It also licenses consumer electronics manufacturers, which includes producers of smart televisions, streaming media devices, video game consoles, mobile devices, content storage devices, and other connected media devices; semiconductors, including providers of memory, logic, sensors, and radio frequency devices; and social media companies that allow users to stream and upload user-generated content. The company licenses its intellectual properties under the Adeia brand. The company was formerly known as Xperi Holding Corporation and changed its name to Adeia Inc. The company was incorporated in 2019 and is headquartered in San Jose, California.

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Frequently Asked Questions

Is Adeia Inc. (ADEA) halal to invest in?

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

Adeia Inc.'s debt ratio is 22.3% 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 44.2%.

What are Adeia Inc.'s key financial metrics?

Adeia Inc. has a market capitalization of $2.7B, trailing P/E ratio of 24.4, and revenue of $443M. The company maintains a gross margin of 100.0% and a net margin of 25.1%. Return on equity stands at 25.3%.

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.