Is LANTRONIX INC (LTRX) Halal?
Shariah Screening — 5 Standards
Based on financial data from June 2025
| Standard | Debt Ratio | Cash Ratio | Receivables | Income | Status |
|---|---|---|---|---|---|
| AAOIFI | 9.4% / 30% | 9.0% / 30% | 12.6% / 30% | 3.26% / 5% | ✓ HALAL |
| DJIM | 9.4% / 33% | 9.0% / 33% | 12.6% / 33% | 3.26% / 5% | ✓ HALAL |
| MSCI | 17.1% / 33% | 16.2% / 33% | 22.8% / 33% | 3.26% / 5% | ✓ HALAL |
| S&P | 9.4% / 33% | 9.0% / 33% | 12.6% / 33% | 3.26% / 5% | ✓ HALAL |
| FTSE | 17.1% / 33% | 16.2% / 33% | 22.8% / 50% | 3.26% / 5% | ✓ HALAL |
Financial Highlights
Profitability
| Gross Margin | 43.1% | |
| Operating Margin | -3.3% | |
| Net Margin | -7.9% | |
| Return on Equity (ROE) | -12.1% | |
| Return on Assets (ROA) | -3.1% |
Cash Flow & Balance Sheet
| Operating Cash Flow | $7M |
| Free Cash Flow | $7M |
| Total Debt | $21M |
| Debt-to-Equity | 24.6 |
| Current Ratio | 2.7 |
| Total Assets | $124M |
Price & Trading
| Last Close | $5.57 |
| 50-Day MA | $6.14 |
| 200-Day MA | $4.83 |
| Avg Volume | 981K |
| Beta | 1.6 |
|
52-Week Range
$1.91
| |
About LANTRONIX INC (LTRX)
Lantronix, Inc. develops, markets, and sells industrial and enterprise internet of things (IoT) products and services in the Americas, Europe, the Middle East, Africa, and the Asia Pacific Japan. The company's embedded IoT solutions provides embedded products, including compute system-on-module and system-in-package solutions; and IoT compute products which offers application processing solutions for data transformation, computer vision, machine learning, augmented/virtual reality, and custom applications, as well as software tools for industrial automation, automotive systems, and smart city infrastructure. It also provides IoT Systems Solutions, which include wired and wireless connections which enhances modern electronic systems and equipment by providing secure network connectivity, power for IoT end devices through power over ethernet (PoE), application hosting, protocol conversion, media conversion, secure access for distributed IoT deployments, and other functions; PoE products for support of remote devices, such as camera and wireless access points; smart tracking devices; and advanced out-of-band products, including console and power management, and IP-connected keyboard-video-mouse. In addition, the company offers a SaaS platform that enables customers to deploy, monitor, manage, and automate deployments; multitenancy functionality for support of customer separation and data security; and multidisciplinary engineering services for IoT product development, including hardware, software, mechanical engineering, rapid prototyping, and quality assurance. The company has a strategic partnership with Safe Pro Group Inc. to develop autonomous drone components integrating edge AI compute with flight control systems. Lantronix, Inc. was incorporated in 1989 and is based in Irvine, California.
Purification Calculator
As a halal stock with 3.26% impermissible income, you need to purify your dividends.
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Frequently Asked Questions
Is LANTRONIX INC (LTRX) halal to invest in?
Based on our screening using AAOIFI Standard 21 (the strictest methodology), LANTRONIX 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 LANTRONIX INC's debt ratio?
LANTRONIX INC's debt ratio is 9.4% 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 17.1%.
Does LANTRONIX INC require dividend purification?
Yes, LANTRONIX INC has an impermissible income ratio of 3.26%, which means 3.26% 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 LANTRONIX INC's key financial metrics?
LANTRONIX INC has a market capitalization of $214M, and revenue of $123M. The company maintains a gross margin of 43.1% and a net margin of -7.9%. 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.