Is Elme Communities (ELME) Halal?

NYSE Real Estate United States $179M
✗ NOT HALAL
Confidence: 90/100
Elme Communities (ELME) is Not Halal under AAOIFI Standard 21. The company's debt ratio of 367.6% exceeds the 30% threshold, indicating excessive interest-bearing debt relative to market capitalization. Elme Communities operates in the Real Estate sector.

Shariah Screening — 5 Standards

Based on financial data from December 2025

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI 367.6%
/ 30%
3.2%
/ 30%
6.6%
/ 30%
0.52%
/ 5%
✗ NOT HALAL
DJIM 367.6%
/ 33%
3.2%
/ 33%
6.6%
/ 33%
0.52%
/ 5%
✗ NOT HALAL
MSCI 37.9%
/ 33%
0.3%
/ 33%
0.7%
/ 33%
0.52%
/ 5%
✗ NOT HALAL
S&P 367.6%
/ 33%
3.2%
/ 33%
6.6%
/ 33%
0.52%
/ 5%
✗ NOT HALAL
FTSE 37.9%
/ 33%
0.3%
/ 33%
0.7%
/ 50%
0.52%
/ 5%
✗ NOT HALAL

Financial Highlights

EPS
$-1.53
Dividend Yield
3564.0%
Payout: 196.7%
P/B Ratio
0.2
EV/EBITDA
10.9
EV: $882M
Revenue
$242M
Growth: 1.7%
Beta
0.8
Low volatility

Profitability

Gross Margin 59.2%
Operating Margin -3.4%
Net Margin -74.7%

Cash Flow & Balance Sheet

Operating Cash Flow$95M
Free Cash Flow$95M
Total Debt$520M
Debt-to-Equity78.1
Total Assets$2.1B

Price & Trading

Last Close$2.02
50-Day MA$2.26
200-Day MA$12.75
Avg Volume4.3M
Beta0.8
52-Week Range
$1.98
$17.68

About Elme Communities (ELME)

CEO
Mr. Paul T. McDermott
Sector
Real Estate
Industry
REIT - Residential
Country
United States
Exchange
NYSE
Market Cap
$179M
Currency
USD

Elme Communities is committed to elevating what home can be for middle-income renters by providing a higher level of quality, service, and experience. The Company is a multifamily real estate investment trust that owns and operates approximately 9,400 apartment homes in the Washington, DC metro and the Atlanta metro regions, and owns approximately 300,000 square feet of commercial space.

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Frequently Asked Questions

Is Elme Communities (ELME) halal to invest in?

Based on our screening using AAOIFI Standard 21 (the strictest methodology), Elme Communities is Not Halal. The company fails one or more screening criteria. We screen against all 5 major standards: AAOIFI, DJIM, MSCI, S&P, and FTSE.

What is Elme Communities's debt ratio?

Elme Communities's debt ratio is 367.6% 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 37.9%.

What are Elme Communities's key financial metrics?

Elme Communities has a market capitalization of $179M, and revenue of $242M. The company maintains a gross margin of 59.2% and a net margin of -74.7%.

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.