Is ETHAN ALLEN INTERIORS INC (ETD) Halal?
Shariah Screening — 5 Standards
Based on financial data from June 2025
| Standard | Debt Ratio | Cash Ratio | Receivables | Income | Status |
|---|---|---|---|---|---|
| AAOIFI | 22.0% / 30% | 24.1% / 30% | 1.1% / 30% | 1.18% / 5% | ✓ HALAL |
| DJIM | 22.0% / 33% | 24.1% / 33% | 1.1% / 33% | 1.18% / 5% | ✓ HALAL |
| MSCI | 16.9% / 33% | 18.5% / 33% | 0.8% / 33% | 1.18% / 5% | ✓ HALAL |
| S&P | 22.0% / 33% | 24.1% / 33% | 1.1% / 33% | 1.18% / 5% | ✓ HALAL |
| FTSE | 16.9% / 33% | 18.5% / 33% | 0.8% / 50% | 1.18% / 5% | ✓ HALAL |
Financial Highlights
Profitability
| Gross Margin | 60.8% | |
| Operating Margin | 8.9% | |
| Net Margin | 7.3% | |
| Return on Equity (ROE) | 9.2% | |
| Return on Assets (ROA) | 4.3% |
Cash Flow & Balance Sheet
| Operating Cash Flow | $62M |
| Free Cash Flow | $50M |
| Total Debt | $124M |
| Debt-to-Equity | 25.4 |
| Current Ratio | 2.3 |
| Total Assets | $737M |
Price & Trading
| Last Close | $22.32 |
| 50-Day MA | $23.20 |
| 200-Day MA | $26.07 |
| Avg Volume | 373K |
| Beta | 1.2 |
|
52-Week Range
$21.45
| |
About ETHAN ALLEN INTERIORS INC (ETD)
Ethan Allen Interiors Inc. operates as an interior design company, and manufacturer and retailer of home furnishings in the United States and internationally. The company operates through two segments, Wholesale and Retail. It offers case goods items, such as beds, dressers, armoires, tables, chairs, buffets, entertainment units, home office furniture, and wooden accents; upholstery comprising fabric-covered items, such as sleepers, recliners and other motion furniture, chairs, ottomans, custom pillows, sofas, loveseats, cut fabrics, and leather; and window treatments and drapery hardware, wall decors, florals, lighting, clocks, mattresses, bedspreads, throws, pillows, decorative accents, area rugs, flooring, wall coverings, and outdoor furnishings. The company also sells third-party furniture protection plans and other miscellaneous product. It markets and sells its products under the Ethan Allen brand through design centers and independent retailers, as well as through ethanallen.com website. Ethan Allen Interiors Inc. was founded in 1932 and is headquartered in Danbury, Connecticut.
Purification Calculator
As a halal stock with 1.18% impermissible income, you need to purify your dividends.
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Frequently Asked Questions
Is ETHAN ALLEN INTERIORS INC (ETD) halal to invest in?
Based on our screening using AAOIFI Standard 21 (the strictest methodology), ETHAN ALLEN INTERIORS 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 ETHAN ALLEN INTERIORS INC's debt ratio?
ETHAN ALLEN INTERIORS INC's debt ratio is 22.0% 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 16.9%.
Does ETHAN ALLEN INTERIORS INC require dividend purification?
Yes, ETHAN ALLEN INTERIORS INC has an impermissible income ratio of 1.18%, which means 1.18% 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 ETHAN ALLEN INTERIORS INC's key financial metrics?
ETHAN ALLEN INTERIORS INC has a market capitalization of $564M, trailing P/E ratio of 12.9, and revenue of $615M. The company maintains a gross margin of 60.8% and a net margin of 7.3%. Return on equity stands at 9.2%.
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.