Is Mechanics Bancorp (MCHB) Halal?

NASDAQ Financial Services United States $3.2B
✗ NOT HALAL
Confidence: 95/100
Mechanics Bancorp (MCHB) is Not Halal under AAOIFI Standard 21 due to its classification in the Banks - Regional industry, which is excluded under Shariah screening. Companies operating in prohibited sectors such as conventional banking, insurance, alcohol, tobacco, and gambling are automatically excluded regardless of their financial ratios.

Shariah Screening — 5 Standards

Based on financial data from December 2025

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI Excluded — Banks - Regional ✗ NOT HALAL
DJIM Excluded — Banks - Regional ✗ NOT HALAL
MSCI Excluded — Banks - Regional ✗ NOT HALAL
S&P Excluded — Banks - Regional ✗ NOT HALAL
FTSE Excluded — Banks - Regional ✗ NOT HALAL

Financial Highlights

P/E Ratio
11.8
Forward: 10.5
EPS
$1.22
Dividend Yield
1113.0%
Payout: 17.2%
P/B Ratio
1.1
Revenue
$650M
Growth: 50.2%
Beta
0.2
Low volatility

Profitability

Gross Margin 0.0%
Operating Margin 49.1%
Net Margin 41.3%
Return on Equity (ROE) 10.3%
Return on Assets (ROA) 1.4%

Cash Flow & Balance Sheet

Operating Cash Flow$194M
Free Cash Flow$187M
Total Debt$231M
Total Assets$22.4B

Price & Trading

Last Close$14.43
50-Day MA$14.84
200-Day MA$13.89
Avg Volume425K
Beta0.2
52-Week Range
$10.16
$16.02

About Mechanics Bancorp (MCHB)

CEO
Mr. C. J. Johnson
Employees
1,971
Sector
Financial Services
Industry
Banks - Regional
Country
United States
Exchange
NASDAQ
Market Cap
$3.2B
Currency
USD

Mechanics Bancorp operates as the holding company for Mechanics Bank that provides banking services in California, Oregon, Washington, and Hawaii.It offers various checking and savings accounts, retirement accounts, money market accounts, time certificates of deposit, and safe deposit boxes. The company also provides home loans, auto loans, term loans and lines of credit, owner occupied real estate lending services, small business lending loans, multi-family lending services; mortgage and consumer lending loans; commercial real estate loans; residential construction loans; private banking, such as loan program, personal lines of credit and investment management and trust lines of credit. In addition, it offers unsecured consumer installment loans and personal reserve accounts; automated bill payments, remote and mobile deposit capture, automated clearing house origination, wire transfer, lockbox, payee positive pay, and direct deposit; digital banking. Further, the company provides real estate, escrow services, title, labor unions, nonprofits and property management services. Mechanics Bancorp was founded in 1905 and is headquartered in Walnut Creek, California.

Related Halal Stocks in Financial Services

Frequently Asked Questions

Is Mechanics Bancorp (MCHB) halal to invest in?

Based on our screening using AAOIFI Standard 21 (the strictest methodology), Mechanics Bancorp is Not Halal. The company fails one or more screening criteria. We screen against all 5 major standards: AAOIFI, DJIM, MSCI, S&P, and FTSE.

What is Mechanics Bancorp's debt ratio?

Mechanics Bancorp's debt ratio is not available under the AAOIFI standard (which uses market capitalization as the denominator). The AAOIFI threshold is 30%.

What are Mechanics Bancorp's key financial metrics?

Mechanics Bancorp has a market capitalization of $3.2B, trailing P/E ratio of 11.8, and revenue of $650M. Return on equity stands at 10.3%.

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.