Is MERCURY SYSTEMS INC (MRCY) Halal?

NASDAQ Industrials United States $4.3B
✓ HALAL
Confidence: 95/100
MERCURY SYSTEMS INC (MRCY) is Halal under all 5 major Shariah screening standards. With a debt ratio of just 12.4% against the AAOIFI threshold of 30%, MERCURY SYSTEMS INC comfortably passes the key financial ratio tests. The company operates in the Industrials sector (Aerospace & Defense), which is not a prohibited industry under Islamic finance principles.

Shariah Screening — 5 Standards

Based on financial data from June 2025

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI 12.4%
/ 30%
6.0%
/ 30%
7.5%
/ 30%
0.4%
/ 5%
✓ HALAL
DJIM 12.4%
/ 33%
6.0%
/ 33%
7.5%
/ 33%
0.4%
/ 5%
✓ HALAL
MSCI 26.5%
/ 33%
12.7%
/ 33%
15.9%
/ 33%
0.4%
/ 5%
✓ HALAL
S&P 12.4%
/ 33%
6.0%
/ 33%
7.5%
/ 33%
0.4%
/ 5%
✓ HALAL
FTSE 26.5%
/ 33%
12.7%
/ 33%
15.9%
/ 50%
0.4%
/ 5%
✓ HALAL

Financial Highlights

EPS
$-0.52
P/B Ratio
2.9
EV/EBITDA
57.8
EV: $4.4B
Revenue
$912M
Growth: 15.4%
Beta
0.8
Low volatility
Current Ratio
3.0

Profitability

Gross Margin 28.2%
Operating Margin 12.1%
Net Margin -3.2%
Return on Equity (ROE) -2.1%
Return on Assets (ROA) -0.0%

Cash Flow & Balance Sheet

Operating Cash Flow$139M
Free Cash Flow$119M
Total Debt$644M
Debt-to-Equity18.3
Current Ratio3.0
Total Assets$2.4B

Price & Trading

Last Close$76.16
50-Day MA$87.31
200-Day MA$72.90
Avg Volume667K
Beta0.8
52-Week Range
$39.89
$103.84

About MERCURY SYSTEMS INC (MRCY)

CEO
Dr. William L. Ballhaus
Employees
2,162
Sector
Industrials
Industry
Aerospace & Defense
Country
United States
Exchange
NASDAQ
Market Cap
$4.3B
Currency
USD

Mercury Systems, Inc., a technology company, manufactures and sells components, products, modules, and subsystems for defense prime contractors, original equipment manufacturers, government, and commercial aerospace companies. The company offers components, including power amplifiers and limiters, switches, oscillators, filters, equalizers, digital and analog converters, chips, monolithic microwave integrated circuits, and memory and storage devices; modules and sub-assemblies, such as embedded processing boards, switched fabrics and boards, digital receivers, multi-chip modules, integrated radio frequency and microwave multi-function assemblies, tuners, and transceivers, as well as graphics and video; and integrated subsystems. It also designs, develops, and manufactures digital radio frequency memory units for various modern electronic warfare applications; radar environment simulation and test systems for defense and intelligence applications; and signals intelligence payloads and EO/IR technologies for small UAV platforms, as well as onboard UAV processor systems for real-time wide area motion imagery. It operates in the United States, Europe, and the Asia Pacific. The company was formerly known as Mercury Computer Systems, Inc. and changed its name to Mercury Systems, Inc. in November 2012. Mercury Systems, Inc. was incorporated in 1981 and is headquartered in Andover, Massachusetts.

Purification Calculator

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Frequently Asked Questions

Is MERCURY SYSTEMS INC (MRCY) halal to invest in?

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

MERCURY SYSTEMS INC's debt ratio is 12.4% 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 26.5%.

Does MERCURY SYSTEMS INC require dividend purification?

Yes, MERCURY SYSTEMS INC has an impermissible income ratio of 0.40%, which means 0.40% 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 MERCURY SYSTEMS INC's key financial metrics?

MERCURY SYSTEMS INC has a market capitalization of $4.3B, and revenue of $912M. The company maintains a gross margin of 28.2% and a net margin of -3.2%. Return on equity stands at -2.1%.

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.