Is GENTEX CORP (GNTX) Halal?

NASDAQ Consumer Cyclical United States $4.8B
✓ HALAL
Confidence: 95/100
GENTEX CORP (GNTX) is Halal under all 5 major Shariah screening standards. With a debt ratio of just 0.1% against the AAOIFI threshold of 30%, GENTEX CORP comfortably passes the key financial ratio tests. The company operates in the Consumer Cyclical sector (Auto Parts), which is not a prohibited industry under Islamic finance principles.

Shariah Screening — 5 Standards

Based on financial data from December 2025

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI 0.1%
/ 30%
3.1%
/ 30%
7.6%
/ 30%
0.97%
/ 5%
✓ HALAL
DJIM 0.1%
/ 33%
3.1%
/ 33%
7.6%
/ 33%
0.97%
/ 5%
✓ HALAL
MSCI 0.1%
/ 33%
5.2%
/ 33%
12.6%
/ 33%
0.97%
/ 5%
✓ HALAL
S&P 0.1%
/ 33%
3.1%
/ 33%
7.6%
/ 33%
0.97%
/ 5%
✓ HALAL
FTSE 0.1%
/ 33%
5.2%
/ 33%
12.6%
/ 50%
0.97%
/ 5%
✓ HALAL

Financial Highlights

P/E Ratio
12.5
Forward: 10.1
EPS
$1.74
Dividend Yield
221.0%
Payout: 34.5%
P/B Ratio
1.9
EV/EBITDA
7.7
EV: $4.5B
Revenue
$2.5B
Growth: 19.0%
Beta
0.8
Low volatility
Current Ratio
2.9

Profitability

Gross Margin 34.2%
Operating Margin 18.5%
Net Margin 15.2%
Return on Equity (ROE) 15.5%
Return on Assets (ROA) 10.7%

Cash Flow & Balance Sheet

Operating Cash Flow$587M
Free Cash Flow$458M
Total Debt$4M
Debt-to-Equity0.5
Current Ratio2.9
Total Assets$2.9B

Price & Trading

Last Close$22.05
50-Day MA$23.06
200-Day MA$24.49
Avg Volume2.3M
Beta0.8
52-Week Range
$20.28
$29.38

About GENTEX CORP (GNTX)

CEO
Mr. Steven R. Downing
Employees
6,398
Sector
Consumer Cyclical
Industry
Auto Parts
Country
United States
Exchange
NASDAQ
Market Cap
$4.8B
Currency
USD

Gentex Corporation designs, develops, manufactures, markets, and supplies digital vision, connected car, dimmable glass, fire protection technologies, audio products, medical devices, and consumer electronics. It operates through Automotive Products, Audio Products, and Other segments. The company offers automotive products, including interior and exterior electrochromic automatic-dimming rearview mirrors, automotive electronics, and non-automatic-dimming rearview mirrors for automotive passenger cars, light trucks, pick-up trucks, sport utility vehicles, and vans for original equipment manufacturers, automotive suppliers, and various aftermarket and accessory customers; and HomeLink modules for the automotive industry. It also provides variable dimmable windows to aircraft manufacturers and airline operators. In addition, the company offers photoelectric smoke detectors and alarms, visual signaling alarms, photoelectric smoke alarms, electrochemical carbon monoxide alarms and detectors, audible and visual signaling appliances, and bells and speakers used in fire detection systems in office buildings, hotels, and other commercial and residential buildings. It sells its fire protection products directly, as well as through sales managers and manufacturer representative organizations to fire protection and security product distributors, electrical wholesale houses, and original equipment manufacturers of fire protection systems. Further, the company is involved in the research and development of nanofiber chemical sensing products; and market and sale of eSight smart glasses to consumers with visual impairment or eye conditions, as well as of identity authentication and access control products that utilizes biometrics technology. It operates in the United States, China, Germany, Japan, Mexico, South Korea, and internationally. Gentex Corporation was incorporated in 1974 and is headquartered in Zeeland, Michigan.

Purification Calculator

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Frequently Asked Questions

Is GENTEX CORP (GNTX) halal to invest in?

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

GENTEX CORP's debt ratio is 0.1% 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 0.1%.

Does GENTEX CORP require dividend purification?

Yes, GENTEX CORP has an impermissible income ratio of 0.97%, which means 0.97% 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 GENTEX CORP's key financial metrics?

GENTEX CORP has a market capitalization of $4.8B, trailing P/E ratio of 12.5, and revenue of $2.5B. The company maintains a gross margin of 34.2% and a net margin of 15.2%. Return on equity stands at 15.5%.

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.