Is VAALCO ENERGY INC /DE/ (EGY) Halal?

NYSE Energy United States $671M
✓ HALAL
Confidence: 95/100
VAALCO ENERGY INC /DE/ (EGY) is Halal under all 5 major Shariah screening standards. With a debt ratio of just 17.3% against the AAOIFI threshold of 30%, VAALCO ENERGY INC /DE/ comfortably passes the key financial ratio tests. The company operates in the Energy sector (Oil & Gas E&P), 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 17.3%
/ 30%
14.5%
/ 30%
23.3%
/ 30%
1.47%
/ 5%
✓ HALAL
DJIM 17.3%
/ 33%
14.5%
/ 33%
23.3%
/ 33%
1.47%
/ 5%
✓ HALAL
MSCI 10.3%
/ 33%
8.7%
/ 33%
13.8%
/ 33%
1.47%
/ 5%
✓ HALAL
S&P 17.3%
/ 33%
14.5%
/ 33%
23.3%
/ 33%
1.47%
/ 5%
✓ HALAL
FTSE 10.3%
/ 33%
8.7%
/ 33%
13.8%
/ 50%
1.47%
/ 5%
✓ HALAL

Financial Highlights

EPS
$-0.40
Dividend Yield
388.0%
Payout: 92.6%
P/B Ratio
1.5
EV/EBITDA
4.8
EV: $759M
Revenue
$359M
Growth: -25.2%
Beta
0.3
Low volatility
Current Ratio
0.7

Profitability

Gross Margin 56.0%
Operating Margin 6.6%
Net Margin -11.5%
Return on Equity (ROE) -8.8%
Return on Assets (ROA) 3.3%

Cash Flow & Balance Sheet

Operating Cash Flow$213M
Free Cash Flow-$43M
Total Debt$146M
Debt-to-Equity33.0
Current Ratio0.7
Total Assets$913M

Price & Trading

Last Close$6.26
50-Day MA$5.22
200-Day MA$4.14
Avg Volume1.4M
Beta0.3
52-Week Range
$3.00
$6.47

About VAALCO ENERGY INC /DE/ (EGY)

CEO
Mr. George Walter-Mitchell Maxwell
Employees
281
Sector
Energy
Industry
Oil & Gas E&P
Country
United States
Exchange
NYSE
Market Cap
$671M
Currency
USD

VAALCO Energy, Inc., an independent energy company, engages in the acquisition, exploration, development, and production of crude oil, natural gas, and natural gas liquids in Gabon, Egypt, Equatorial Guinea, Cote d'Ivoire, Equatorial Guinea, Nigeria, and Canada. It holds 58.8% interest in the Etame production sharing contract related to the Etame Marin block covering an area of approximately 46,200 gross acres located offshore in the Republic of Gabon in West Africa. The company also holds 100% interest in the Eastern Desert, which contains West Gharib, West Bakr, and Northwest Gharib merged concessions covering an area of approximately 45,067 acres, as well as Western Desert, which contains the South Ghazalat concession covering an area of approximately 7,340 acres located in Egypt. In addition, it holds 27.4% non-operated working interest in CI-40 in the deepwater producing Baobab field in Block CI-40, offshore Cote d'Ivoire in West Africa. Further, the company owns production and working interests in Cardium light oil and Mannville liquids-rich gas assets in Harmattan, within the Western Canadian Sedimentary Basin, approximately 80 kilometers north of Calgary, Alberta; and a 60% working interest in an undeveloped portion of block P offshore Equatorial Guinea. VAALCO Energy, Inc. was incorporated in 1985 and is headquartered in Houston, Texas.

Purification Calculator

As a halal stock with 1.47% impermissible income, you need to purify your dividends.

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Frequently Asked Questions

Is VAALCO ENERGY INC /DE/ (EGY) halal to invest in?

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

VAALCO ENERGY INC /DE/'s debt ratio is 17.3% 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 10.3%.

Does VAALCO ENERGY INC /DE/ require dividend purification?

Yes, VAALCO ENERGY INC /DE/ has an impermissible income ratio of 1.47%, which means 1.47% 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 VAALCO ENERGY INC /DE/'s key financial metrics?

VAALCO ENERGY INC /DE/ has a market capitalization of $671M, and revenue of $359M. The company maintains a gross margin of 56.0% and a net margin of -11.5%. Return on equity stands at -8.8%.

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.