Is TopBuild Corp (BLD) Halal?

NYSE Industrials United States $9.8B
✓ HALAL
Confidence: 95/100
TopBuild Corp (BLD) is Halal under 4 of 5 Shariah screening standards, including AAOIFI Standard 21. With a debt ratio of just 14.5% against the AAOIFI threshold of 30%, TopBuild Corp comfortably passes the key financial ratio tests. The company operates in the Industrials sector (Engineering & Construction), 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 14.5%
/ 30%
3.7%
/ 30%
6.9%
/ 30%
0.52%
/ 5%
✓ HALAL
DJIM 14.5%
/ 33%
3.7%
/ 33%
6.9%
/ 33%
0.52%
/ 5%
✓ HALAL
MSCI 33.3%
/ 33%
8.5%
/ 33%
15.9%
/ 33%
0.52%
/ 5%
✓ HALAL
S&P 14.5%
/ 33%
3.7%
/ 33%
6.9%
/ 33%
0.52%
/ 5%
✓ HALAL
FTSE 33.3%
/ 33%
8.5%
/ 33%
15.9%
/ 50%
0.52%
/ 5%
✗ NOT HALAL

Financial Highlights

P/E Ratio
19.1
Forward: 16.4
EPS
$18.26
P/B Ratio
4.2
EV/EBITDA
12.5
EV: $12.7B
Revenue
$5.4B
Growth: 13.2%
Beta
1.7
High volatility
Current Ratio
1.9

Profitability

Gross Margin 29.4%
Operating Margin 13.8%
Net Margin 9.6%
Return on Equity (ROE) 23.1%
Return on Assets (ROA) 9.3%

Cash Flow & Balance Sheet

Operating Cash Flow$756M
Free Cash Flow$697M
Total Debt$3.2B
Debt-to-Equity136.1
Current Ratio1.9
Total Assets$6.6B

Price & Trading

Last Close$347.81
50-Day MA$450.84
200-Day MA$418.43
Avg Volume325K
Beta1.7
52-Week Range
$266.26
$559.47

About TopBuild Corp (BLD)

CEO
Mr. Robert M. Buck
Employees
14,707
Sector
Industrials
Industry
Engineering & Construction
Country
United States
Exchange
NYSE
Market Cap
$9.8B
Currency
USD

TopBuild Corp., together with its subsidiaries, engages in the installation and distribution of insulation and other building material products to the construction industry. The company operates in two segments, Installation and Specialty Distribution. It provides insulation products and accessories, glass and windows, rain gutters, garage doors, fireplaces, roofing materials, closet shelving, and other products. The company also offers insulation installation services for fiberglass batts and rolls, blown-in loose fill fiberglass, polyurethane spray foam, and blown-in loose fill cellulose applications; provides roofing installation services, re-roofing and maintenance for the commercial and industrial end markets including single ply roofing, built-up roofing systems, and metal roofing systems. In addition, it distributes building and mechanical insulation, insulation accessories, and other building product materials for the residential, commercial, and industrial end markets. The company serves single-family homebuilders, single-family custom builders, multi-family builders, commercial and industrial general contractors, school districts, municipalities, remodelers, and individual homeowners, as well as insulation contractors, gutter contractors, weatherization contractors, other contractors, dealers, metal building erectors, and modular home builders. It operates installation branches and distribution centers in the United States and Canada. The company was formerly known as Masco SpinCo Corp. and changed its name to TopBuild Corp. in March 2015. TopBuild Corp. was incorporated in 2015 and is headquartered in Daytona Beach, Florida.

Purification Calculator

As a halal stock with 0.52% impermissible income, you need to purify your dividends.

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Frequently Asked Questions

Is TopBuild Corp (BLD) halal to invest in?

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

TopBuild Corp's debt ratio is 14.5% 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 33.3%.

Does TopBuild Corp require dividend purification?

Yes, TopBuild Corp has an impermissible income ratio of 0.52%, which means 0.52% 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 TopBuild Corp's key financial metrics?

TopBuild Corp has a market capitalization of $9.8B, trailing P/E ratio of 19.1, and revenue of $5.4B. The company maintains a gross margin of 29.4% and a net margin of 9.6%. Return on equity stands at 23.1%.

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.