Is GRAHAM CORP (GHM) Halal?

NYSE Industrials United States $865M
✓ HALAL
Confidence: 95/100
GRAHAM CORP (GHM) is Halal under all 5 major Shariah screening standards. With a debt ratio of just 0.8% against the AAOIFI threshold of 30%, GRAHAM CORP comfortably passes the key financial ratio tests. The company operates in the Industrials sector (Specialty Industrial Machinery), which is not a prohibited industry under Islamic finance principles.

Shariah Screening — 5 Standards

Based on financial data from March 2025

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI 0.8%
/ 30%
2.4%
/ 30%
8.4%
/ 30%
0.17%
/ 5%
✓ HALAL
DJIM 0.8%
/ 33%
2.4%
/ 33%
8.4%
/ 33%
0.17%
/ 5%
✓ HALAL
MSCI 2.6%
/ 33%
8.2%
/ 33%
28.6%
/ 33%
0.17%
/ 5%
✓ HALAL
S&P 0.8%
/ 33%
2.4%
/ 33%
8.4%
/ 33%
0.17%
/ 5%
✓ HALAL
FTSE 2.6%
/ 33%
8.2%
/ 33%
28.6%
/ 50%
0.17%
/ 5%
✓ HALAL

Financial Highlights

P/E Ratio
57.9
Forward: 39.3
EPS
$1.35
P/B Ratio
6.5
EV/EBITDA
36.0
EV: $849M
Revenue
$210M
Growth: 20.5%
Beta
0.9
Average volatility
Current Ratio
1.1

Profitability

Gross Margin 24.6%
Operating Margin 7.0%
Net Margin 6.3%
Return on Equity (ROE) 12.1%
Return on Assets (ROA) 3.8%

Cash Flow & Balance Sheet

Operating Cash Flow$24M
Free Cash Flow$5M
Total Debt$7M
Debt-to-Equity4.6
Current Ratio1.1
Total Assets$264M

Price & Trading

Last Close$78.20
50-Day MA$79.94
200-Day MA$61.91
Avg Volume115K
Beta0.9
52-Week Range
$24.78
$91.91

About GRAHAM CORP (GHM)

CEO
Mr. Matthew J. Malone
Employees
636
Sector
Industrials
Industry
Specialty Industrial Machinery
Country
United States
Exchange
NYSE
Market Cap
$865M
Currency
USD

Graham Corporation designs and manufactures fluid, power, heat transfer, and vacuum technologies for chemical and petrochemical processing, defense, space, petroleum refining, cryogenic, and energy industries. The company offers power plant systems, such as ejectors and surface condensers; torpedo ejection, propulsion, and power systems, including turbines, alternators, regulators, pumps, and blowers; and thermal management systems comprising pumps, blowers, and drive electronics for the defense sector. It also provides heat transfer and vacuum systems, including ejectors, process and surface condensers, liquid ring pumps, heat exchangers, and nozzles; power generation systems, such as turbines, generators, compressors, and pumps; and thermal management systems comprising pumps, blowers, and electronics for the energy sector. In addition, the company offers rocket propulsion systems consisting of turbopumps, fuel, cryogenic, and nuclear propellant pumps; cooling systems, which include pumps, compressors, fans, and blowers; and life support systems that comprise fans, pumps, and blowers for the space industry. Further, Graham Corporation sells and services spare parts for its equipment. It operates in the United States, Asia, Canada, the Middle East, South America, and internationally. Graham Corporation was founded in 1936 and is headquartered in Batavia, New York.

Purification Calculator

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Frequently Asked Questions

Is GRAHAM CORP (GHM) halal to invest in?

Based on our screening using AAOIFI Standard 21 (the strictest methodology), GRAHAM CORP 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 GRAHAM CORP's debt ratio?

GRAHAM CORP's debt ratio is 0.8% 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 2.6%.

Does GRAHAM CORP require dividend purification?

Yes, GRAHAM CORP has an impermissible income ratio of 0.17%, which means 0.17% 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 GRAHAM CORP's key financial metrics?

GRAHAM CORP has a market capitalization of $865M, trailing P/E ratio of 57.9, and revenue of $210M. The company maintains a gross margin of 24.6% and a net margin of 6.3%. Return on equity stands at 12.1%.

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.