Is DAKTRONICS INC /SD/ (DAKT) Halal?

NASDAQ Technology United States $938M
✓ HALAL
Confidence: 95/100
DAKTRONICS INC /SD/ (DAKT) is Halal under all 5 major Shariah screening standards. With a debt ratio of just 1.3% against the AAOIFI threshold of 30%, DAKTRONICS INC /SD/ comfortably passes the key financial ratio tests. The company operates in the Technology sector (Electronic Components), which is not a prohibited industry under Islamic finance principles.

Shariah Screening — 5 Standards

Based on financial data from April 2025

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI 1.3%
/ 30%
11.9%
/ 30%
13.0%
/ 30%
0.77%
/ 5%
✓ HALAL
DJIM 1.3%
/ 33%
11.9%
/ 33%
13.0%
/ 33%
0.77%
/ 5%
✓ HALAL
MSCI 2.8%
/ 33%
25.4%
/ 33%
27.8%
/ 33%
0.77%
/ 5%
✓ HALAL
S&P 1.3%
/ 33%
11.9%
/ 33%
13.0%
/ 33%
0.77%
/ 5%
✓ HALAL
FTSE 2.8%
/ 33%
25.4%
/ 33%
27.8%
/ 50%
0.77%
/ 5%
✓ HALAL

Financial Highlights

P/E Ratio
35.0
Forward: 15.8
EPS
$0.55
P/B Ratio
3.2
EV/EBITDA
10.0
EV: $796M
Revenue
$756M
Growth: 21.6%
Beta
1.7
High volatility
Current Ratio
2.2

Profitability

Gross Margin 26.6%
Operating Margin 1.1%
Net Margin 3.4%
Return on Equity (ROE) 9.7%
Return on Assets (ROA) 7.2%

Cash Flow & Balance Sheet

Operating Cash Flow$98M
Free Cash Flow$78M
Total Debt$14M
Debt-to-Equity3.8
Current Ratio2.2
Total Assets$503M

Price & Trading

Last Close$19.90
50-Day MA$23.34
200-Day MA$19.57
Avg Volume589K
Beta1.7
52-Week Range
$10.92
$28.27

About DAKTRONICS INC /SD/ (DAKT)

CEO
Mr. Bradley T. Wiemann
Employees
2,422
Sector
Technology
Industry
Electronic Components
Country
United States
Exchange
NASDAQ
Market Cap
$938M
Currency
USD

Daktronics, Inc. designs, manufactures, and sells electronic scoreboards, programmable display systems, and large screen video displays for sporting, commercial, and transportation applications in the United States and internationally. It operates through Commercial, Live Events, High School Park and Recreation, Transportation, and International segments. The company offers video display and walls; scoreboards and timing systems; LED message displays and sings; intelligent transportation systems dynamic message signs; mass transit display; sound systems; and digital billboards and street furniture, and digit and price displays. It also provides indoor dynamic messaging systems; and software and controllers, which includes Venus, a control suite software to control the creation of messages and graphic sequences for uploading to displays. The company serves out-of-home companies, retailers, quick-serve restaurants, casinos, shopping centers, cruise ships, commercial building owners, petroleum retailers, governmental transportation departments, transportation industry contractors, airlines, and sports and commercial business facilities. It sells its products through direct sales and resellers. Daktronics, Inc. was incorporated in 1968 and is headquartered in Brookings, South Dakota.

Purification Calculator

As a halal stock with 0.77% impermissible income, you need to purify your dividends.

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Frequently Asked Questions

Is DAKTRONICS INC /SD/ (DAKT) halal to invest in?

Based on our screening using AAOIFI Standard 21 (the strictest methodology), DAKTRONICS INC /SD/ 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 DAKTRONICS INC /SD/'s debt ratio?

DAKTRONICS INC /SD/'s debt ratio is 1.3% 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 2.8%.

Does DAKTRONICS INC /SD/ require dividend purification?

Yes, DAKTRONICS INC /SD/ has an impermissible income ratio of 0.77%, which means 0.77% 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 DAKTRONICS INC /SD/'s key financial metrics?

DAKTRONICS INC /SD/ has a market capitalization of $938M, trailing P/E ratio of 35.0, and revenue of $756M. The company maintains a gross margin of 26.6% and a net margin of 3.4%. Return on equity stands at 9.7%.

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.