Is ALGONQUIN POWER & UTILITIES CORP. (AQN) Halal?

NYSE Utilities Canada $4.8B
✗ NOT HALAL
Confidence: 90/100
ALGONQUIN POWER & UTILITIES CORP. (AQN) is Not Halal under AAOIFI Standard 21. The company's debt ratio of 143.3% exceeds the 30% threshold, indicating excessive interest-bearing debt relative to market capitalization. ALGONQUIN POWER & UTILITIES CORP. operates in the Utilities sector.

Shariah Screening — 5 Standards

Based on financial data from December 2024

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI 143.3%
/ 30%
0.7%
/ 30%
9.0%
/ 30%
1.21%
/ 5%
✗ NOT HALAL
DJIM 143.3%
/ 33%
0.7%
/ 33%
9.0%
/ 33%
1.21%
/ 5%
✗ NOT HALAL
MSCI 39.5%
/ 33%
0.2%
/ 33%
2.5%
/ 33%
1.21%
/ 5%
✗ NOT HALAL
S&P 143.3%
/ 33%
0.7%
/ 33%
9.0%
/ 33%
1.21%
/ 5%
✗ NOT HALAL
FTSE 39.5%
/ 33%
0.2%
/ 33%
2.5%
/ 50%
1.21%
/ 5%
✗ NOT HALAL

Financial Highlights

P/E Ratio
22.8
Forward: 15.2
EPS
$0.27
Dividend Yield
423.0%
Payout: 96.3%
P/B Ratio
1.1
EV/EBITDA
12.9
EV: $11.8B
Revenue
$2.3B
Beta
0.9
Average volatility
Current Ratio
1.0

Profitability

Gross Margin 37.9%
Operating Margin 17.8%
Net Margin 7.4%
Return on Equity (ROE) 2.6%
Return on Assets (ROA) 2.1%

Cash Flow & Balance Sheet

Operating Cash Flow$482M
Free Cash Flow-$391M
Total Debt$6.7B
Debt-to-Equity129.9
Current Ratio1.0
Total Assets$17.0B

Price & Trading

Last Close$6.21
50-Day MA$6.53
200-Day MA$6.03
Avg Volume4.8M
Beta0.9
52-Week Range
$4.45
$7.11

About ALGONQUIN POWER & UTILITIES CORP. (AQN)

CEO
Mr. Roderick K. West J.D.
Employees
3,233
Sector
Utilities
Industry
Utilities - Diversified
Country
Canada
Exchange
NYSE
Market Cap
$4.8B
Currency
USD

Algonquin Power & Utilities Corp. operates in the power and utility industries. It owns and operates a portfolio of regulated electric, water distribution and wastewater collection, and natural gas utility systems and transmission operations. As of December 31, 2025, it operated a portfolio of regulated utility systems in the United States, Canada, Bermuda, and Chile, serving approximately 1,272,000 customer connections. Its regulated electrical distribution utility systems and related transmission and generation assets are located in the states of Arkansas, California, Kansas, Missouri, Nevada, New Hampshire, and Oklahoma, as well as in Bermuda with approximately 311,000 electric customer connections. Its regulated water distribution and wastewater utility systems are located in the states of Arizona, Arkansas, California, Illinois, Missouri, New York, and Texas, as well as in Chile with approximately 583,000 customer connections. It's regulated natural gas distribution utility systems are located in the states of Georgia, Illinois, Iowa, Massachusetts, Missouri, New Hampshire, and New York; and in the Canadian province of New Brunswick with approximately 378,000 natural gas customer connections. It also owns and operates generating assets with a gross capacity of approximately 2.0 gigawatt (GW) and has investments in generating assets with approximately 0.3 GW of net generation capacity. It generates and sells hydroelectric energy in Canada, and capacity and renewable attributes are produced by its portfolio of 14 hydroelectric power generation facilities located in the provinces of Alberta, Ontario, New Brunswick, and Quebec. As of December 31, 2025, it had a combined gross generating capacity of approximately 112 megawatts (MW) and a combined net generating capacity of approximately 105 MW. The company was formerly known as Traduction Militech Translation Inc. in October 2009. The company was incorporated in 1988 and is headquartered in Oakville, Canada.

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Frequently Asked Questions

Is ALGONQUIN POWER & UTILITIES CORP. (AQN) halal to invest in?

Based on our screening using AAOIFI Standard 21 (the strictest methodology), ALGONQUIN POWER & UTILITIES 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 ALGONQUIN POWER & UTILITIES CORP.'s debt ratio?

ALGONQUIN POWER & UTILITIES CORP.'s debt ratio is 143.3% 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 39.5%.

What are ALGONQUIN POWER & UTILITIES CORP.'s key financial metrics?

ALGONQUIN POWER & UTILITIES CORP. has a market capitalization of $4.8B, trailing P/E ratio of 22.8, and revenue of $2.3B. The company maintains a gross margin of 37.9% and a net margin of 7.4%. Return on equity stands at 2.6%.

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.