Is JOHNSON & JOHNSON (JNJ) Halal?
Shariah Screening — 5 Standards
Based on financial data from December 2025
| Standard | Debt Ratio | Cash Ratio | Receivables | Income | Status |
|---|---|---|---|---|---|
| AAOIFI | 8.3% / 30% | 3.5% / 30% | 3.7% / 30% | 1.12% / 5% | ✓ HALAL |
| DJIM | 8.3% / 33% | 3.5% / 33% | 3.7% / 33% | 1.12% / 5% | ✓ HALAL |
| MSCI | 24.1% / 33% | 10.1% / 33% | 10.7% / 33% | 1.12% / 5% | ✓ HALAL |
| S&P | 8.3% / 33% | 3.5% / 33% | 3.7% / 33% | 1.12% / 5% | ✓ HALAL |
| FTSE | 24.1% / 33% | 10.1% / 33% | 10.7% / 50% | 1.12% / 5% | ✓ HALAL |
Financial Highlights
Profitability
| Gross Margin | 68.1% | |
| Operating Margin | 24.0% | |
| Net Margin | 28.5% | |
| Return on Equity (ROE) | 35.0% | |
| Return on Assets (ROA) | 8.7% |
Cash Flow & Balance Sheet
| Operating Cash Flow | $24.5B |
| Free Cash Flow | $19.3B |
| Total Debt | $47.9B |
| Debt-to-Equity | 60.5 |
| Current Ratio | 1.0 |
| Total Assets | $199.2B |
Price & Trading
| Last Close | $239.24 |
| 50-Day MA | $236.91 |
| 200-Day MA | $196.66 |
| Avg Volume | 8.6M |
| Beta | 0.3 |
|
52-Week Range
$141.50
| |
About JOHNSON & JOHNSON (JNJ)
Johnson & Johnson, together with its subsidiaries, engages in the research and development, manufacture, and sale of a range of products in the healthcare field worldwide. It operates in two segments, Innovative Medicine and MedTech. The Innovative Medicine segment offers products for various therapeutic areas, such as oncology, immunology, neuroscience, pulmonary hypertension, infectious diseases, and cardiovascular and metabolism distributed through retailers, wholesalers, distributors, hospitals, and healthcare professionals for prescription use. The MedTech segment provides a portfolio of products used in the surgery, orthopedic, cardiovascular, and vision fields distributed through wholesalers, hospitals and retailers, and used in the professional fields by physicians, nurses, hospitals, eye care professionals and clinics. This segment also offers products and enabling technologies that support joint reconstruction, trauma, spine, sports related injuries, and others, as well as open, laparoscopic, and robotic surgical procedures; instrumentation, energy devices, stapling systems, wound closure, biosurgery products, and digital and robotic technologies; breast aesthetics and reconstruction; contact lenses under the ACUVUE brand; intraocular lenses for cataract surgery, and other products used in cataract and refractive procedures under the TECNIS brand. The company was founded in 1886 and is based in New Brunswick, New Jersey.
Purification Calculator
As a halal stock with 1.12% impermissible income, you need to purify your dividends.
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Frequently Asked Questions
Is JOHNSON & JOHNSON (JNJ) halal to invest in?
Based on our screening using AAOIFI Standard 21 (the strictest methodology), JOHNSON & JOHNSON 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 JOHNSON & JOHNSON's debt ratio?
JOHNSON & JOHNSON's debt ratio is 8.3% 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 24.1%.
Does JOHNSON & JOHNSON require dividend purification?
Yes, JOHNSON & JOHNSON has an impermissible income ratio of 1.12%, which means 1.12% 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 JOHNSON & JOHNSON's key financial metrics?
JOHNSON & JOHNSON has a market capitalization of $579.5B, trailing P/E ratio of 21.8, and revenue of $94.2B. The company maintains a gross margin of 68.1% and a net margin of 28.5%. Return on equity stands at 35.0%.
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.