Is MGE ENERGY INC (MGEE) Halal?

NASDAQ Utilities United States $2.8B
✗ NOT HALAL
Confidence: 90/100
MGE ENERGY INC (MGEE) is Not Halal under AAOIFI Standard 21. The company's debt ratio of 31.1% exceeds the 30% threshold, indicating excessive interest-bearing debt relative to market capitalization. MGE ENERGY INC operates in the Utilities sector.

Shariah Screening — 5 Standards

Based on financial data from December 2025

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI 31.1%
/ 30%
0.2%
/ 30%
3.9%
/ 30%
2.66%
/ 5%
✗ NOT HALAL
DJIM 31.1%
/ 33%
0.2%
/ 33%
3.9%
/ 33%
2.66%
/ 5%
✓ HALAL
MSCI 28.8%
/ 33%
0.2%
/ 33%
3.6%
/ 33%
2.66%
/ 5%
✓ HALAL
S&P 31.1%
/ 33%
0.2%
/ 33%
3.9%
/ 33%
2.66%
/ 5%
✓ HALAL
FTSE 28.8%
/ 33%
0.2%
/ 33%
3.6%
/ 50%
2.66%
/ 5%
✓ HALAL

Financial Highlights

P/E Ratio
20.5
Forward: 18.0
EPS
$3.72
Dividend Yield
246.0%
Payout: 49.7%
P/B Ratio
2.1
EV/EBITDA
13.0
EV: $3.7B
Revenue
$744M
Growth: 11.7%
Beta
0.8
Low volatility
Current Ratio
0.8

Profitability

Gross Margin 42.6%
Operating Margin 20.6%
Net Margin 18.7%
Return on Equity (ROE) 10.7%
Return on Assets (ROA) 3.8%

Cash Flow & Balance Sheet

Operating Cash Flow$263M
Free Cash Flow-$80M
Total Debt$908M
Debt-to-Equity71.8
Current Ratio0.8
Total Assets$3.2B

Price & Trading

Last Close$75.94
50-Day MA$78.83
200-Day MA$82.63
Avg Volume151K
Beta0.8
52-Week Range
$72.17
$94.22

About MGE ENERGY INC (MGEE)

CEO
Mr. Jeffrey M. Keebler
Employees
726
Sector
Utilities
Industry
Utilities - Regulated Electric
Country
United States
Exchange
NASDAQ
Market Cap
$2.8B
Currency
USD

MGE Energy, Inc., through its subsidiaries, operates as a public utility holding company in the United States. It operates through Regulated Electric Utility Operations; Regulated Gas Utility Operations; Nonregulated Energy Operations; Transmission Investments; and All Other segments. The company generates, purchases, and distributes electricity; purchases and distributes natural gas; owns and leases electric generating capacity; and plans, constructs, operates, maintains, and expands transmission facilities to provide transmission power services. It also generates electricity from coal-fired, gas-fired, and renewable energy sources and provides solar and wind generation, and battery storage services. As of December 31, 2025, the company owned and operated 811 miles of overhead electric distribution lines; 1,386 miles of underground electric distribution cables; 47 substations with an installed capacity of 1.2 million kVA; and gas facilities, including 3,117 miles of distribution mains, as well as supplied electric service to approximately 170,000 customers. MGE Energy, Inc. was incorporated in 2001 and is headquartered in Madison, Wisconsin.

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Frequently Asked Questions

Is MGE ENERGY INC (MGEE) halal to invest in?

Based on our screening using AAOIFI Standard 21 (the strictest methodology), MGE ENERGY INC 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 MGE ENERGY INC's debt ratio?

MGE ENERGY INC's debt ratio is 31.1% 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 28.8%.

What are MGE ENERGY INC's key financial metrics?

MGE ENERGY INC has a market capitalization of $2.8B, trailing P/E ratio of 20.5, and revenue of $744M. The company maintains a gross margin of 42.6% and a net margin of 18.7%. Return on equity stands at 10.7%.

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.