Is EASTERN CO (EML) Halal?
Shariah Screening — 5 Standards
Based on financial data from December 2025
| Standard | Debt Ratio | Cash Ratio | Receivables | Income | Status |
|---|---|---|---|---|---|
| AAOIFI | 53.5% / 30% | 14.3% / 30% | 31.8% / 30% | 0.13% / 5% | ✗ NOT HALAL |
| DJIM | 53.5% / 33% | 14.3% / 33% | 31.8% / 33% | 0.13% / 5% | ✗ NOT HALAL |
| MSCI | 25.6% / 33% | 6.8% / 33% | 15.2% / 33% | 0.13% / 5% | ✓ HALAL |
| S&P | 53.5% / 33% | 14.3% / 33% | 31.8% / 33% | 0.13% / 5% | ✗ NOT HALAL |
| FTSE | 25.6% / 33% | 6.8% / 33% | 15.2% / 50% | 0.13% / 5% | ✓ HALAL |
Financial Highlights
Profitability
| Gross Margin | 22.9% | |
| Operating Margin | 4.4% | |
| Net Margin | 2.9% | |
| Return on Equity (ROE) | 4.9% | |
| Return on Assets (ROA) | 3.6% |
Cash Flow & Balance Sheet
| Operating Cash Flow | $9M |
| Free Cash Flow | $5M |
| Total Debt | $54M |
| Debt-to-Equity | 43.2 |
| Current Ratio | 3.6 |
| Total Assets | $217M |
Price & Trading
| Last Close | $19.84 |
| 50-Day MA | $18.99 |
| 200-Day MA | $21.21 |
| Avg Volume | 17K |
| Beta | 1.0 |
|
52-Week Range
$17.61
| |
About EASTERN CO (EML)
The Eastern Company designs, manufactures, and sells engineered solutions to industrial markets in the United States and North America. The company offers turnkey returnable packaging solutions, which are used in the assembly processes of vehicles, aircraft, and durable goods, as well as in production processes of plastic packaging products, packaged consumer goods, and pharmaceuticals; injection blow mold tooling products; design, develops, and manufactures 2-step stretch blow molds, and related components for the stretch blow molding industry; and supplies blow molds and change parts to the food, beverage, healthcare, and chemical industries. It also provides rotary latches, compression latches, draw latches, hinges, camlocks, key switches, padlocks, and handles; and development and program management services for custom electromechanical and mechanical systems for original equipment manufacturers (OEM) and customer applications. In addition, the company designs and manufactures proprietary vision technology for OEMs and aftermarket applications, as well as offers aftermarket components to the heavy- and medium-duty truck, motorhome, and bus markets. The Eastern Company was founded in 1858 and is based in Shelton, Connecticut.
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Frequently Asked Questions
Is EASTERN CO (EML) halal to invest in?
Based on our screening using AAOIFI Standard 21 (the strictest methodology), EASTERN CO 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 EASTERN CO's debt ratio?
EASTERN CO's debt ratio is 53.5% 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 25.6%.
What are EASTERN CO's key financial metrics?
EASTERN CO has a market capitalization of $120M, trailing P/E ratio of 20.2, and revenue of $249M. The company maintains a gross margin of 22.9% and a net margin of 2.9%. Return on equity stands at 4.9%.
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.