Is ALIGN TECHNOLOGY INC (ALGN) Halal?

NASDAQ Healthcare United States $11.9B
✓ HALAL
Confidence: 95/100
ALIGN TECHNOLOGY INC (ALGN) is Halal under all 5 major Shariah screening standards. With a debt ratio of just 0.9% against the AAOIFI threshold of 30%, ALIGN TECHNOLOGY INC comfortably passes the key financial ratio tests. The company operates in the Healthcare sector (Medical Instruments & Supplies), 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 0.9%
/ 30%
8.8%
/ 30%
9.3%
/ 30%
0.4%
/ 5%
✓ HALAL
DJIM 0.9%
/ 33%
8.8%
/ 33%
9.3%
/ 33%
0.4%
/ 5%
✓ HALAL
MSCI 1.8%
/ 33%
17.6%
/ 33%
18.6%
/ 33%
0.4%
/ 5%
✓ HALAL
S&P 0.9%
/ 33%
8.8%
/ 33%
9.3%
/ 33%
0.4%
/ 5%
✓ HALAL
FTSE 1.8%
/ 33%
17.6%
/ 33%
18.6%
/ 50%
0.4%
/ 5%
✓ HALAL

Financial Highlights

P/E Ratio
29.4
Forward: 13.5
EPS
$5.66
P/B Ratio
2.9
EV/EBITDA
12.8
EV: $10.9B
Revenue
$4.0B
Growth: 5.3%
Beta
1.8
High volatility
Current Ratio
1.4

Profitability

Gross Margin 69.8%
Operating Margin 22.4%
Net Margin 10.2%
Return on Equity (ROE) 10.4%
Return on Assets (ROA) 6.9%

Cash Flow & Balance Sheet

Operating Cash Flow$593M
Free Cash Flow$491M
Total Debt$114M
Debt-to-Equity2.8
Current Ratio1.4
Total Assets$6.2B

Price & Trading

Last Close$177.33
50-Day MA$176.84
200-Day MA$159.65
Avg Volume1.2M
Beta1.8
52-Week Range
$122.00
$208.31

About ALIGN TECHNOLOGY INC (ALGN)

CEO
Mr. Joseph M. Hogan
Employees
20,290
Sector
Healthcare
Industry
Medical Instruments & Supplies
Country
United States
Exchange
NASDAQ
Market Cap
$11.9B
Currency
USD

Align Technology, Inc. provides Invisalign clear aligners, Vivera retainers, and iTero intraoral scanners and services in the United States, Switzerland, and internationally. The company's Clear Aligner segment offers Invisalign comprehensive package to treat adults and teens malocclusion and features, and orthodontic needs of teenage or younger patients; and Invisalign First Phase I and Invisalign First Comprehensive Phase 2 package for younger patients between the ages of six and ten years with a mixture of primary/baby and permanent teeth. This segment also provides Invisalign express, Invisalign lite, and Invisalign moderate; Invisalign Go, Invisalign Go express, and Invisalign Go Plus; retention products, Invisalign training, adjusting tools used by dental professionals during treatment, ancillary Invisalign accessory products, and other oral health products; Invisalign Professional Whitening system; Invisalign Palatal Expander, a 3D printed orthodontic device; and 3D printing solutions. Its Imaging Systems and CAD/CAM Services segment offers iTero intraoral scanning system, a single hardware platform for restorative or orthodontic procedures; exocad, a computer-aided design and computer-aided manufacturing software; orthodontist software for digital records storage, orthodontic diagnosis, and fabrication of printed models and retainers; and restorative software for general practitioner dentists, prosthodontists, periodontists, and oral surgeons. This segment also offers Invisalign outcome simulator, a chair-side and cloud-based application for the iTero scanner; Invisalign progress assessment tool; Align Oral Health Suite, a digital interface for dental consultations; iTero TimeLapse technology for doctors or practitioners to compare a patient's historic 3D scans to the present-day scan; and subscription software, disposables, rents scanners, and pay per scan services. Align Technology, Inc. was incorporated in 1997 and is headquartered in Tempe, Arizona.

Purification Calculator

As a halal stock with 0.40% impermissible income, you need to purify your dividends.

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Frequently Asked Questions

Is ALIGN TECHNOLOGY INC (ALGN) halal to invest in?

Based on our screening using AAOIFI Standard 21 (the strictest methodology), ALIGN TECHNOLOGY 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 ALIGN TECHNOLOGY INC's debt ratio?

ALIGN TECHNOLOGY INC's debt ratio is 0.9% 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 1.8%.

Does ALIGN TECHNOLOGY INC require dividend purification?

Yes, ALIGN TECHNOLOGY INC has an impermissible income ratio of 0.40%, which means 0.40% 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 ALIGN TECHNOLOGY INC's key financial metrics?

ALIGN TECHNOLOGY INC has a market capitalization of $11.9B, trailing P/E ratio of 29.4, and revenue of $4.0B. The company maintains a gross margin of 69.8% and a net margin of 10.2%. Return on equity stands at 10.4%.

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.