Is American Resources Corp (AREC) Halal?

NASDAQ Basic Materials United States $235M
✗ NOT HALAL
Confidence: 90/100
American Resources Corp (AREC) is Not Halal under AAOIFI Standard 21. The company's debt ratio of 68.1% exceeds the 30% threshold, indicating excessive interest-bearing debt relative to market capitalization. American Resources Corp operates in the Basic Materials sector.

Shariah Screening — 5 Standards

Based on financial data from December 2024

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI 68.1%
/ 30%
0.4%
/ 30%
0.4%
/ 30%
287.44%
/ 5%
✗ NOT HALAL
DJIM 68.1%
/ 33%
0.4%
/ 33%
0.4%
/ 33%
287.44%
/ 5%
✗ NOT HALAL
MSCI 107.1%
/ 33%
0.6%
/ 33%
0.6%
/ 33%
287.44%
/ 5%
✗ NOT HALAL
S&P 68.1%
/ 33%
0.4%
/ 33%
0.4%
/ 33%
287.44%
/ 5%
✗ NOT HALAL
FTSE 107.1%
/ 33%
0.6%
/ 33%
0.6%
/ 50%
287.44%
/ 5%
✗ NOT HALAL

Financial Highlights

EPS
$-0.41
P/B Ratio
-2.4
EV/EBITDA
-22.4
EV: $443M
Revenue
$383,234
Growth: -99.9%
Beta
1.1
Average volatility
Current Ratio
0.1

Profitability

Gross Margin 0.0%
Operating Margin -2620080.5%
Net Margin 0.0%
Return on Assets (ROA) -7.3%

Cash Flow & Balance Sheet

Operating Cash Flow-$21M
Free Cash Flow-$22M
Total Debt$221M
Current Ratio0.1
Total Assets$206M

Price & Trading

Last Close$2.44
50-Day MA$3.19
200-Day MA$2.62
Avg Volume4.1M
Beta1.1
52-Week Range
$0.38
$7.11

About American Resources Corp (AREC)

CEO
Mr. Mark C. Jensen
Employees
21
Sector
Basic Materials
Industry
Coking Coal
Country
United States
Exchange
NASDAQ
Market Cap
$235M
Currency
USD

American Resources Corporation engages in the production of rare earth and critical mineral concentrates for the infrastructure and electrification markets. It operates through the American Infrastructure (AIC), ReElements (RLMT), and Electrified Materials Corporation (EMC) segments. The American Infrastructure segment engages in the extraction, processing, transportation, and distribution of coal with a focus on metallurgical quality coal to the steel industry. Its ReElements segment provides final stage, separated, and purified rare earth and critical elements to the electrification industry supply chain, which are used to manufacture permanent magnets and battery materials. The Electrified Materials segment aggregates and processes used metals for recycling into new steel-based products for the recovery and sale of recovered metal and steel. American Resources Corporation was founded in 2006 and is headquartered in Fishers, Indiana.

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Frequently Asked Questions

Is American Resources Corp (AREC) halal to invest in?

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

American Resources Corp's debt ratio is 68.1% 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 107.1%.

What are American Resources Corp's key financial metrics?

American Resources Corp has a market capitalization of $235M, and revenue of $383,234.

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.