Is Applied Digital Corp. (APLD) Halal?

NASDAQ Technology United States $6.6B
✗ NOT HALAL
Confidence: 90/100
Applied Digital Corp. (APLD) is Not Halal under AAOIFI Standard 21. The company's impermissible income ratio of 71.55% exceeds the 5% threshold allowed under AAOIFI. Applied Digital Corp. operates in the Technology sector.

Shariah Screening — 5 Standards

Based on financial data from May 2025

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI 10.0%
/ 30%
0.6%
/ 30%
0.0%
/ 30%
71.55%
/ 5%
✗ NOT HALAL
DJIM 10.0%
/ 33%
0.6%
/ 33%
0.0%
/ 33%
71.55%
/ 5%
✗ NOT HALAL
MSCI 37.6%
/ 33%
2.2%
/ 33%
0.2%
/ 33%
71.55%
/ 5%
✗ NOT HALAL
S&P 10.0%
/ 33%
0.6%
/ 33%
0.0%
/ 33%
71.55%
/ 5%
✗ NOT HALAL
FTSE 37.6%
/ 33%
2.2%
/ 33%
0.2%
/ 50%
71.55%
/ 5%
✗ NOT HALAL

Financial Highlights

EPS
$-0.39
P/B Ratio
4.6
EV/EBITDA
371.8
EV: $8.0B
Revenue
$144M
Growth: 250.1%
Beta
7.3
High volatility
Current Ratio
4.8

Profitability

Gross Margin 19.6%
Operating Margin -24.5%
Net Margin -47.4%
Return on Equity (ROE) -7.9%
Return on Assets (ROA) -1.5%

Cash Flow & Balance Sheet

Operating Cash Flow-$115M
Free Cash Flow-$797M
Total Debt$703M
Debt-to-Equity125.9
Current Ratio4.8
Total Assets$1.9B

Price & Trading

Last Close$25.71
50-Day MA$31.33
200-Day MA$23.98
Avg Volume27.5M
Beta7.3
52-Week Range
$3.31
$42.27

About Applied Digital Corp. (APLD)

CEO
Mr. Wesley Cummins
Employees
205
Sector
Technology
Industry
Information Technology Services
Country
United States
Exchange
NASDAQ
Market Cap
$6.6B
Currency
USD

Applied Digital Corporation designs, develops, and operates digital infrastructure solutions to high-performance computing (HPC) and artificial intelligence industries in North America. It operates through: Data Center Hosting Business, and HPC Hosting Business. The company offers infrastructure services to crypto mining customers; and GPU computing solutions for critical workloads related to AI, machine learning, and other HPC tasks. It also engages in the designing, constructing, and managing of data centers to support HPC applications. The company was formerly known as Applied Blockchain, Inc. and changed its name to Applied Digital Corporation in November 2022. Applied Digital Corporation has an lease agreement with CoreWeave for an additional 150MW at its Polaris Forge 1 Campus in Ellendale, North Dakota. Applied Digital Corporation is based in Dallas, Texas.

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Frequently Asked Questions

Is Applied Digital Corp. (APLD) halal to invest in?

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

Applied Digital Corp.'s debt ratio is 10.0% 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 37.6%.

What are Applied Digital Corp.'s key financial metrics?

Applied Digital Corp. has a market capitalization of $6.6B, and revenue of $144M. The company maintains a gross margin of 19.6% and a net margin of -47.4%. Return on equity stands at -7.9%.

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.