Is FARMER BROTHERS CO (FARM) Halal?

NASDAQ Consumer Defensive United States $27M
✗ NOT HALAL
Confidence: 90/100
FARMER BROTHERS CO (FARM) is Not Halal under AAOIFI Standard 21. The company's debt ratio of 196.5% exceeds the 30% threshold, indicating excessive interest-bearing debt relative to market capitalization. FARMER BROTHERS CO operates in the Consumer Defensive sector.

Shariah Screening — 5 Standards

Based on financial data from June 2025

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI 196.5%
/ 30%
25.0%
/ 30%
91.2%
/ 30%
2.57%
/ 5%
✗ NOT HALAL
DJIM 196.5%
/ 33%
25.0%
/ 33%
91.2%
/ 33%
2.57%
/ 5%
✗ NOT HALAL
MSCI 33.1%
/ 33%
4.2%
/ 33%
15.4%
/ 33%
2.57%
/ 5%
✓ HALAL
S&P 196.5%
/ 33%
25.0%
/ 33%
91.2%
/ 33%
2.57%
/ 5%
✗ NOT HALAL
FTSE 33.1%
/ 33%
4.2%
/ 33%
15.4%
/ 50%
2.57%
/ 5%
✗ NOT HALAL

Financial Highlights

EPS
$-0.86
P/B Ratio
0.8
EV/EBITDA
15.5
EV: $79M
Revenue
$342M
Growth: -1.2%
Beta
1.1
Average volatility
Current Ratio
1.3

Profitability

Gross Margin 40.7%
Operating Margin -3.8%
Net Margin -5.5%
Return on Equity (ROE) -48.3%
Return on Assets (ROA) -2.2%

Cash Flow & Balance Sheet

Operating Cash Flow$16M
Free Cash Flow$7M
Total Debt$53M
Debt-to-Equity156.5
Current Ratio1.3
Total Assets$161M

Price & Trading

Last Close$1.25
50-Day MA$1.46
200-Day MA$1.60
Avg Volume204K
Beta1.1
52-Week Range
$1.21
$2.48

About FARMER BROTHERS CO (FARM)

CEO
Mr. John E. Moore III
Employees
865
Sector
Consumer Defensive
Industry
Packaged Foods
Country
United States
Exchange
NASDAQ
Market Cap
$27M
Currency
USD

Farmer Bros. Co. engages in roasting, wholesaling, equipment servicing, and distributing coffee, tea, and other allied products in the United States. The company offers roast and ground coffee; frozen liquid coffee; ambient liquid; flavoured and unflavoured iced and hot teas; culinary products, including spices, pancake and biscuit mixes, gravy and sauce mixes, soup bases, dressings, and syrups and sauces, as well as coffee filters, cups, sugar, and creamers; and other beverages comprising cappuccino, cocoa, granitas, and other blender-based beverages and concentrated and ready-to-drink cold brew and iced coffee under the Farmer Brothers, Artisan Collection by Farmer Brothers, Metropolitan, Farmer Brothers, Sum>One, Metropolitan, China Mist, Cain's, and Boyds brand names. It also involved in the installation, repair, and refurbishment services for an array of coffee, tea, and juice equipment. The company serves small independent restaurants, foodservice operators, and large institutional buyers and national account customers, such as restaurant, department and convenience store chains, hotels, casinos, healthcare facilities, and gourmet coffee houses, as well as retails with private brand and consumer-branded coffee and tea products, foodservice distributors, and consumers through e-commerce channel. It distributes its products through third-party logistics service providers and retail, as well as through foodservice distributors. Farmer Bros. Co. was founded in 1912 and is headquartered in Fort Worth, Texas.

Related Halal Stocks in Consumer Defensive

Frequently Asked Questions

Is FARMER BROTHERS CO (FARM) halal to invest in?

Based on our screening using AAOIFI Standard 21 (the strictest methodology), FARMER BROTHERS 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 FARMER BROTHERS CO's debt ratio?

FARMER BROTHERS CO's debt ratio is 196.5% 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 33.1%.

What are FARMER BROTHERS CO's key financial metrics?

FARMER BROTHERS CO has a market capitalization of $27M, and revenue of $342M. The company maintains a gross margin of 40.7% and a net margin of -5.5%. Return on equity stands at -48.3%.

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.