Is Edesa Biotech, Inc. (EDSA) Halal?

NASDAQ Healthcare Canada $49M
✓ HALAL
Confidence: 95/100
Edesa Biotech, Inc. (EDSA) is Halal under 3 of 5 Shariah screening standards, including AAOIFI Standard 21. With a debt ratio of just 0.0% against the AAOIFI threshold of 30%, Edesa Biotech, Inc. comfortably passes the key financial ratio tests. The company operates in the Healthcare sector (Biotechnology), which is not a prohibited industry under Islamic finance principles.

Shariah Screening — 5 Standards

Based on financial data from September 2025

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI 0.0%
/ 30%
19.8%
/ 30%
1.2%
/ 30%
N/A ✓ HALAL
DJIM 0.0%
/ 33%
19.8%
/ 33%
1.2%
/ 33%
N/A ✓ HALAL
MSCI 0.0%
/ 33%
79.8%
/ 33%
4.8%
/ 33%
N/A ✗ NOT HALAL
S&P 0.0%
/ 33%
19.8%
/ 33%
1.2%
/ 33%
N/A ✓ HALAL
FTSE 0.0%
/ 33%
79.8%
/ 33%
4.8%
/ 50%
N/A ✗ NOT HALAL

Financial Highlights

EPS
$-1.07
P/B Ratio
10.4
EV/EBITDA
-5.6
EV: $46M
Revenue
$0
Beta
0.1
Low volatility
Current Ratio
16.8

Profitability

Gross Margin 0.0%
Operating Margin 0.0%
Net Margin 0.0%
Return on Equity (ROE) -96.4%
Return on Assets (ROA) -55.3%

Cash Flow & Balance Sheet

Operating Cash Flow-$7M
Free Cash Flow-$7M
Total Debt$0
Current Ratio16.8
Total Assets$14M

Price & Trading

Last Close$5.86
50-Day MA$3.18
200-Day MA$2.36
Avg Volume4.5M
Beta0.1
52-Week Range
$0.72
$9.37

About Edesa Biotech, Inc. (EDSA)

CEO
Dr. Pardeep Nijhawan FRCPC, M.D.
Employees
17
Sector
Healthcare
Industry
Biotechnology
Country
Canada
Exchange
NASDAQ
Market Cap
$49M
Currency
USD

Edesa Biotech, Inc., a clinical-stage biopharmaceutical company, engages in the research and development, manufacture, and commercialization of pharmaceutical products for inflammatory and immune-related diseases. It develops EB05, a monoclonal antibody, which is in Phase 3 clinical study for the treatment of acute respiratory distress syndrome; and EB01, a topical vanishing cream containing non-steroidal anti-inflammatory compound that has completed Phase 3 clinical study to treat chronic allergic contact dermatitis. The company develops EB07, a monoclonal antibody, which is in a Phase 2 clinical study for the treatment of pulmonary fibrosis; and EB06, a human monoclonal antibody candidate that binds to chemokine ligand 10 (CXCL10) and inhibits the interaction of CXCL10 with its receptors, CXCR3A, and CXCR3B. It has a collaboration agreement with NovImmune SA to develop monoclonal antibodies targeting products containing toll-like receptor 4 and CXCL10 for therapeutic, prophylactic, and diagnostic applications in humans and animals; and Yissum Research Development Company for the development of products for therapeutic, prophylactic, and diagnostic uses in topical dermal and anorectal applications, as well as for the use in dermatologic and gastrointestinal conditions. The company was founded in 2015 and is headquartered in Markham, Canada.

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Frequently Asked Questions

Is Edesa Biotech, Inc. (EDSA) halal to invest in?

Based on our screening using AAOIFI Standard 21 (the strictest methodology), Edesa Biotech, Inc. 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 Edesa Biotech, Inc.'s debt ratio?

Edesa Biotech, Inc.'s debt ratio is 0.0% 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 0.0%.

What are Edesa Biotech, Inc.'s key financial metrics?

Edesa Biotech, Inc. has a market capitalization of $49M. Return on equity stands at -96.4%.

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.