Is Cisco (CSCO) Halal?
Shariah Screening — 5 Standards
Based on financial data from July 2025
| Standard | Debt Ratio | Cash Ratio | Receivables | Income | Status |
|---|---|---|---|---|---|
| AAOIFI | 9.0% / 30% | 5.2% / 30% | 3.1% / 30% | 1.77% / 5% | ✓ HALAL |
| DJIM | 9.0% / 33% | 5.2% / 33% | 3.1% / 33% | 1.77% / 5% | ✓ HALAL |
| MSCI | 23.0% / 33% | 13.2% / 33% | 8.0% / 33% | 1.77% / 5% | ✓ HALAL |
| S&P | 9.0% / 33% | 5.2% / 33% | 3.1% / 33% | 1.77% / 5% | ✓ HALAL |
| FTSE | 23.0% / 33% | 13.2% / 33% | 8.0% / 50% | 1.77% / 5% | ✓ HALAL |
Financial Highlights
Profitability
| Gross Margin | 64.8% | |
| Operating Margin | 24.9% | |
| Net Margin | 18.8% | |
| Return on Equity (ROE) | 23.8% | |
| Return on Assets (ROA) | 7.0% |
Cash Flow & Balance Sheet
| Operating Cash Flow | $14.2B |
| Free Cash Flow | $13.3B |
| Total Debt | $28.1B |
| Debt-to-Equity | 66.5 |
| Current Ratio | 1.0 |
| Total Assets | $122.3B |
Price & Trading
| Last Close | $82.16 |
| 50-Day MA | $78.94 |
| 200-Day MA | $72.99 |
| Avg Volume | 23.3M |
| Beta | 0.8 |
|
52-Week Range
$52.11
| |
About Cisco (CSCO)
Cisco Systems, Inc. designs, develops, and sells technologies that help to power, secure, and draw insights from the internet in the Americas, Europe, the Middle East, Africa, the Asia Pacific, Japan, and China. The company offers data center switching; network security, identity and access management, and secure access service edge; threat intelligence, detection, and response solutions; interconnects public and private wireline and mobile networks, delivering connectivity to campus, data center, and branch networks; WEBEX suite, collaboration devices, and contact center; communication platform as a service software, including perpetual licenses, subscription arrangements, and hardware solutions; network assurance, monitoring and analytics, and observability suite; issue resolution, software support, and hardware replacement; professional services, such as planning, design, implementation, and high-value consulting; service and support packages, financing, and managed network services; and regional, national, and international wireline carriers, webscale products, internet, and cable. It also delivers connectivity to campus, data center, and branch networks; wireless products, including indoor and outdoor wireless coverage designed for seamless roaming use of voice, video, and data applications; end-to-end collaboration solutions through cloud, on-premise, or within hybrid cloud environments, transition collaboration solutions from on-premise to the cloud; and network assurance, monitoring and analytics, and observability suite. In addition, it offers technical support and advisory services. The company serves businesses, public institutions, governments, and service providers. It sells its products and services directly, through systems integrators, service providers, resellers, and distributors. Cisco Systems, Inc. was incorporated in 1984 and is headquartered in San Jose, California.
Purification Calculator
As a halal stock with 1.77% impermissible income, you need to purify your dividends.
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Frequently Asked Questions
Is Cisco (CSCO) halal to invest in?
Based on our screening using AAOIFI Standard 21 (the strictest methodology), Cisco 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 Cisco's debt ratio?
Cisco's debt ratio is 9.0% 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 23.0%.
Does Cisco require dividend purification?
Yes, Cisco has an impermissible income ratio of 1.77%, which means 1.77% 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 Cisco's key financial metrics?
Cisco has a market capitalization of $315.8B, trailing P/E ratio of 28.7, and revenue of $56.7B. The company maintains a gross margin of 64.8% and a net margin of 18.8%. Return on equity stands at 23.8%.
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.