Is James Hardie Industries plc (JHX) Halal?

NYSE Basic Materials Ireland $10.5B
✓ HALAL
Confidence: 95/100
James Hardie Industries plc (JHX) is Halal under all 5 major Shariah screening standards. With a debt ratio of just 9.8% against the AAOIFI threshold of 30%, James Hardie Industries plc comfortably passes the key financial ratio tests. The company operates in the Basic Materials sector (Building Materials), 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 9.8%
/ 30%
4.6%
/ 30%
3.2%
/ 30%
0.79%
/ 5%
✓ HALAL
DJIM 9.8%
/ 33%
4.6%
/ 33%
3.2%
/ 33%
0.79%
/ 5%
✓ HALAL
MSCI 23.0%
/ 33%
10.8%
/ 33%
7.6%
/ 33%
0.79%
/ 5%
✓ HALAL
S&P 9.8%
/ 33%
4.6%
/ 33%
3.2%
/ 33%
0.79%
/ 5%
✓ HALAL
FTSE 23.0%
/ 33%
10.8%
/ 33%
7.6%
/ 50%
0.79%
/ 5%
✓ HALAL

Financial Highlights

P/E Ratio
75.1
Forward: 14.1
EPS
$0.24
P/B Ratio
1.6
EV/EBITDA
13.6
EV: $15.0B
Revenue
$3.9B
Growth: 30.1%
Beta
0.9
Average volatility
Current Ratio
1.5

Profitability

Gross Margin 35.9%
Operating Margin 14.7%
Net Margin 2.7%
Return on Equity (ROE) 2.8%
Return on Assets (ROA) 4.8%

Cash Flow & Balance Sheet

Operating Cash Flow$803M
Free Cash Flow$360M
Total Debt$1.2B
Debt-to-Equity76.2
Current Ratio1.5
Total Assets$5.2B

Price & Trading

Last Close$18.69
50-Day MA$22.75
200-Day MA$22.43
Avg Volume6.2M
Beta0.9
52-Week Range
$16.46
$29.83

About James Hardie Industries plc (JHX)

CEO
Mr. Aaron M. Erter
Employees
6,000
Sector
Basic Materials
Industry
Building Materials
Country
Ireland
Exchange
NYSE
Market Cap
$10.5B
Currency
USD

James Hardie Industries plc engages in the manufacture and sale of fiber cement, fiber gypsum, and cement bonded boards in the United States, Australia, Europe, and New Zealand. It operates in three segments: North America Fiber Cement, Asia Pacific Fiber Cement, and Europe Building Products. The company offers fiber cement interior linings, exterior siding products, and related accessories. Its fiber cement products are used for a range of external applications, including siding, cladding, trim, soffit, as well as internal applications such as walls, floors, and ceilings. The company also provides fiber gypsum and cement-bonded boards for interior applications, such as dry lining walls, walls in timber frame buildings, and flooring solutions. Its cement-bonded boards are used in exterior and industrial applications, as well as for fire protection. The company offers its products under the HardieTM brand, such as Hardie Plank, Hardie Panel, Hardie Trim, Hardie Backer, Hardie Artisan Siding, and HardieTM Architectural Collection brands, as well as the fermacell and AESTUVER brands. James Hardie Industries plc was founded in 1888 and is headquartered in Dublin, Ireland.

Purification Calculator

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Frequently Asked Questions

Is James Hardie Industries plc (JHX) halal to invest in?

Based on our screening using AAOIFI Standard 21 (the strictest methodology), James Hardie Industries plc 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 James Hardie Industries plc's debt ratio?

James Hardie Industries plc's debt ratio is 9.8% 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 23.0%.

Does James Hardie Industries plc require dividend purification?

Yes, James Hardie Industries plc has an impermissible income ratio of 0.79%, which means 0.79% 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 James Hardie Industries plc's key financial metrics?

James Hardie Industries plc has a market capitalization of $10.5B, trailing P/E ratio of 75.1, and revenue of $3.9B. The company maintains a gross margin of 35.9% and a net margin of 2.7%. Return on equity stands at 2.8%.

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.