Is MERIT MEDICAL SYSTEMS INC (MMSI) Halal?

NASDAQ Healthcare United States $4.1B
✓ HALAL
Confidence: 95/100
MERIT MEDICAL SYSTEMS INC (MMSI) is Halal under all 5 major Shariah screening standards. With a debt ratio of just 19.0% against the AAOIFI threshold of 30%, MERIT MEDICAL SYSTEMS INC comfortably passes the key financial ratio tests. The company operates in the Healthcare sector (Medical Instruments & Supplies), which is not a prohibited industry under Islamic finance principles.

Shariah Screening — 5 Standards

Based on financial data from December 2025

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI 19.0%
/ 30%
10.3%
/ 30%
5.2%
/ 30%
0.99%
/ 5%
✓ HALAL
DJIM 19.0%
/ 33%
10.3%
/ 33%
5.2%
/ 33%
0.99%
/ 5%
✓ HALAL
MSCI 30.6%
/ 33%
16.6%
/ 33%
8.3%
/ 33%
0.99%
/ 5%
✓ HALAL
S&P 19.0%
/ 33%
10.3%
/ 33%
5.2%
/ 33%
0.99%
/ 5%
✓ HALAL
FTSE 30.6%
/ 33%
16.6%
/ 33%
8.3%
/ 50%
0.99%
/ 5%
✓ HALAL

Financial Highlights

P/E Ratio
32.3
Forward: 15.7
EPS
$2.13
P/B Ratio
2.6
EV/EBITDA
14.1
EV: $4.5B
Revenue
$1.5B
Growth: 10.9%
Beta
0.6
Low volatility
Current Ratio
4.3

Profitability

Gross Margin 48.7%
Operating Margin 15.8%
Net Margin 8.5%
Return on Equity (ROE) 8.7%
Return on Assets (ROA) 4.7%

Cash Flow & Balance Sheet

Operating Cash Flow$297M
Free Cash Flow$213M
Total Debt$822M
Debt-to-Equity51.9
Current Ratio4.3
Total Assets$2.7B

Price & Trading

Last Close$69.31
50-Day MA$76.82
200-Day MA$84.29
Avg Volume765K
Beta0.6
52-Week Range
$66.34
$107.27

About MERIT MEDICAL SYSTEMS INC (MMSI)

CEO
Ms. Martha Goldberg Aronson
Employees
7,500
Sector
Healthcare
Industry
Medical Instruments & Supplies
Country
United States
Exchange
NASDAQ
Market Cap
$4.1B
Currency
USD

Merit Medical Systems, Inc. designs, develops, manufactures, and markets single-use medical products for interventional, diagnostic, and therapeutic procedures in the United States, China, Japan, Germany, France, the United Kingdom, and internationally. It operates through two segments, Cardiovascular and Endoscopy. The company offers micropuncture kits, angiographic needles, sheaths, guide wires, and safety products; peripheral intervention products comprising angiography, drainage, delivery systems, and embolotherapy products; oncology products, such as soft tissue biopsy products and accessories; cardiac intervention products consisting of cardiac access, angiography, electrophysiology and cardiac rhythm management, fluid management, hemodynamic monitoring, hemostasis, and intervention products; and spine products, including vertebral augmentation, radiofrequency ablation, and bone biopsy systems. It also provides custom procedural solutions, including critical care products, syringes, manifold kits, and trays and packs; coating services for medical tubes and wires; and sensor components for microelectromechanical systems. In addition, the company offers gastroenterology products, such as esophageal stents, cryoballoon and inflation devices, gauges, and balloon dilators; pulmonary products consisting of laser-cut tracheobronchial stents, and over-the-wire and direct visualization delivery systems; and kits and accessories for endoscopy and bronchoscopy procedures. It sells its products to hospitals, alternate site-based physicians, technicians, and nurses through direct sales force, independent distributors, original equipment manufacturer partners, and custom procedure tray manufacturers. The company exports its products to Canada, Western Europe, Australia, Brazil, Malaysia, South Korea, the United Arab Emirates, India, New Zealand, and South Africa. Merit Medical Systems, Inc. was incorporated in 1987 and is headquartered in South Jordan, Utah.

Purification Calculator

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Frequently Asked Questions

Is MERIT MEDICAL SYSTEMS INC (MMSI) halal to invest in?

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

MERIT MEDICAL SYSTEMS INC's debt ratio is 19.0% 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 30.6%.

Does MERIT MEDICAL SYSTEMS INC require dividend purification?

Yes, MERIT MEDICAL SYSTEMS INC has an impermissible income ratio of 0.99%, which means 0.99% 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 MERIT MEDICAL SYSTEMS INC's key financial metrics?

MERIT MEDICAL SYSTEMS INC has a market capitalization of $4.1B, trailing P/E ratio of 32.3, and revenue of $1.5B. The company maintains a gross margin of 48.7% and a net margin of 8.5%. Return on equity stands at 8.7%.

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.