Is Coal India (COALINDIA) Halal?

NSE Energy India $2.7T
✓ HALAL
Confidence: 95/100
Coal India (COALINDIA) is Halal under all 5 major Shariah screening standards. With a debt ratio of just 3.4% against the AAOIFI threshold of 30%, Coal India comfortably passes the key financial ratio tests. The company operates in the Energy sector (Thermal Coal), which is not a prohibited industry under Islamic finance principles.

Shariah Screening — 5 Standards

Based on financial data from March 2025

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI 3.4%
/ 30%
13.4%
/ 30%
4.6%
/ 30%
4.31%
/ 5%
✓ HALAL
DJIM 3.4%
/ 33%
13.4%
/ 33%
4.6%
/ 33%
4.31%
/ 5%
✓ HALAL
MSCI 3.5%
/ 33%
14.0%
/ 33%
4.8%
/ 33%
4.31%
/ 5%
✓ HALAL
S&P 3.4%
/ 33%
13.4%
/ 33%
4.6%
/ 33%
4.31%
/ 5%
✓ HALAL
FTSE 3.5%
/ 33%
14.0%
/ 33%
4.8%
/ 50%
4.31%
/ 5%
✓ HALAL

Financial Highlights

P/E Ratio
9.2
Forward: 8.2
EPS
$48.47
Dividend Yield
494.0%
Payout: 54.7%
P/B Ratio
2.6
EV/EBITDA
6.1
EV: $2.5T
Revenue
$1.2T
Growth: -4.8%
Beta
-0.0
Low volatility

Profitability

Gross Margin 85.6%
Operating Margin 23.1%
Net Margin 23.0%

Cash Flow & Balance Sheet

Operating Cash Flow$292.0B
Free Cash Flow$159.1B
Total Debt$91.5B
Debt-to-Equity13.0
Total Assets$2.6T

Price & Trading

Last CloseINR 443.70
50-Day MAINR 435.45
200-Day MAINR 400.62
Avg Volume10.5M
Beta-0.0
52-Week Range
INR 356.00
INR 476.00

About Coal India (COALINDIA)

CEO
Mr. B. Sairam
Employees
220,272
Sector
Energy
Industry
Thermal Coal
Country
India
Exchange
NSE
Market Cap
$2.7T
Currency
INR

Coal India Limited, together with its subsidiaries, produces and sells coal and coal products in India. The company offers coking coal for steel making and metallurgical industries, as well as for hard coke manufacturing; semi coking coal for blend-able coal in steel making, merchant coke manufacturing, and other metallurgical industries; and non-coking coal for thermal grade coal for cement, fertilizer, glass, ceramic, paper, chemical, and brick manufacturing, as well as power generation and other heating purposes. It also provides washed and beneficiated coal for manufacturing of hard coke for steel making and power generation, as well as for cement, sponge iron, and other industrial plants; middling products for power generation, domestic fuel plants, brick manufacturing units, cement plants, and industrial plants, etc.; and rejects products for fluidized bed combustion boilers for power generation, road repairs, briquette making, and land filling, etc. In addition, the company offers CIL/LTC coke for use in furnaces and kilns of industrial units, as well as domestic fuel by halwais, and hotels, etc.; coal/coke fines for use in industrial furnaces and domestic purposes; and tar, heavy and light oil, and soft pitch for use in furnaces and boilers of industrial plants, power houses, oil, dye, and pharmaceutical industries, etc. Further, it engages in coal mining and gasification; consultancy support in coal and mineral exploration; and renewable and solar energy. The company was formerly known as Coal Mines Authority Limited and changed its name to Coal India Limited in January 1975. Coal India Limited was incorporated in 1973 and is headquartered in Kolkata, India.

Purification Calculator

As a halal stock with 4.31% impermissible income, you need to purify your dividends.

Enter your dividends to calculate purification amount

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Frequently Asked Questions

Is Coal India (COALINDIA) halal to invest in?

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

Coal India's debt ratio is 3.4% 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 3.5%.

Does Coal India require dividend purification?

Yes, Coal India has an impermissible income ratio of 4.31%, which means 4.31% 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 Coal India's key financial metrics?

Coal India has a market capitalization of $2.7T, trailing P/E ratio of 9.2, and revenue of $1.2T. The company maintains a gross margin of 85.6% and a net margin of 23.0%.

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.