Is Hub Group, Inc. (HUBG) Halal?

NASDAQ Industrials United States $2.2B
✓ HALAL
Confidence: 95/100
Hub Group, Inc. (HUBG) is Halal under all 5 major Shariah screening standards. With a debt ratio of just 21.3% against the AAOIFI threshold of 30%, Hub Group, Inc. comfortably passes the key financial ratio tests. The company operates in the Industrials sector (Integrated Freight & Logistics), which is not a prohibited industry under Islamic finance principles.

Shariah Screening — 5 Standards

Based on financial data from December 2024

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI 21.3%
/ 30%
4.1%
/ 30%
24.8%
/ 30%
0.17%
/ 5%
✓ HALAL
DJIM 21.3%
/ 33%
4.1%
/ 33%
24.8%
/ 33%
0.17%
/ 5%
✓ HALAL
MSCI 17.7%
/ 33%
3.4%
/ 33%
20.7%
/ 33%
0.17%
/ 5%
✓ HALAL
S&P 21.3%
/ 33%
4.1%
/ 33%
24.8%
/ 33%
0.17%
/ 5%
✓ HALAL
FTSE 17.7%
/ 33%
3.4%
/ 33%
20.7%
/ 50%
0.17%
/ 5%
✓ HALAL

Financial Highlights

P/E Ratio
20.3
Forward: 17.0
EPS
$1.74
Dividend Yield
141.0%
Payout: 28.7%
P/B Ratio
1.3
EV/EBITDA
7.8
EV: $2.6B
Revenue
$3.9B
Growth: -5.3%
Beta
1.1
Average volatility
Current Ratio
1.5

Profitability

Gross Margin 11.4%
Operating Margin 4.2%
Net Margin 2.8%
Return on Equity (ROE) 6.2%
Return on Assets (ROA) 3.2%

Cash Flow & Balance Sheet

Operating Cash Flow$194M
Free Cash Flow$144M
Total Debt$509M
Debt-to-Equity28.4
Current Ratio1.5
Total Assets$2.9B

Price & Trading

Last Close$36.11
50-Day MA$41.91
200-Day MA$38.29
Avg Volume929K
Beta1.1
52-Week Range
$30.75
$53.26

About Hub Group, Inc. (HUBG)

CEO
Mr. Phillip D. Yeager
Employees
6,604
Sector
Industrials
Industry
Integrated Freight & Logistics
Country
United States
Exchange
NASDAQ
Market Cap
$2.2B
Currency
USD

Hub Group, Inc., a supply chain solutions provider, offers transportation and logistics management services in North America. It operates in two segments, Intermodal and Transportation Solutions (ITS), and Logistics. The ITS segment offers intermodal and dedicated trucking services, including freight transportation, truckload, less-than-truckload, flatbed, temperature-controlled, and dedicated and regional trucking services. The Logistics segment provides transportation management, freight brokerage, shipment optimization, load consolidation, mode selection, carrier management, load planning and execution, warehousing, fulfillment, cross-docking, and consolidation and final mile delivery services. It also provides trucking transportation services, including dry van, expedited, less-than-truckload, and refrigerated and flatbed services. As of December 31, 2024, the company operated a fleet of approximately 2,300 tractors, 3,200 employee drivers, 500 independent owner-operators, and 4,700 trailers; and owned approximately 50,000 dry and 53-foot containers, as well as 900 refrigerated 53-foot containers. It serves a range of industries, including retail, consumer products, automotive, and durable goods. The company was founded in 1971 and is headquartered in Oak Brook, Illinois.

Purification Calculator

As a halal stock with 0.17% impermissible income, you need to purify your dividends.

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Frequently Asked Questions

Is Hub Group, Inc. (HUBG) halal to invest in?

Based on our screening using AAOIFI Standard 21 (the strictest methodology), Hub Group, 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 Hub Group, Inc.'s debt ratio?

Hub Group, Inc.'s debt ratio is 21.3% 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 17.7%.

Does Hub Group, Inc. require dividend purification?

Yes, Hub Group, Inc. 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 Hub Group, Inc.'s key financial metrics?

Hub Group, Inc. has a market capitalization of $2.2B, trailing P/E ratio of 20.3, and revenue of $3.9B. The company maintains a gross margin of 11.4% and a net margin of 2.8%. Return on equity stands at 6.2%.

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.