Is NEPHROS INC (NEPH) Halal?

NASDAQ Healthcare United States $31M
✓ HALAL
Confidence: 95/100
NEPHROS INC (NEPH) is Halal under 3 of 5 Shariah screening standards, including AAOIFI Standard 21. With a debt ratio of just 3.4% against the AAOIFI threshold of 30%, NEPHROS 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 3.4%
/ 30%
9.1%
/ 30%
4.3%
/ 30%
0.66%
/ 5%
✓ HALAL
DJIM 3.4%
/ 33%
9.1%
/ 33%
4.3%
/ 33%
0.66%
/ 5%
✓ HALAL
MSCI 12.6%
/ 33%
33.5%
/ 33%
15.9%
/ 33%
0.66%
/ 5%
✗ NOT HALAL
S&P 3.4%
/ 33%
9.1%
/ 33%
4.3%
/ 33%
0.66%
/ 5%
✓ HALAL
FTSE 12.6%
/ 33%
33.5%
/ 33%
15.9%
/ 50%
0.66%
/ 5%
✗ NOT HALAL

Financial Highlights

P/E Ratio
26.3
Forward: 22.2
EPS
$0.11
P/B Ratio
3.0
EV/EBITDA
20.6
EV: $26M
Revenue
$19M
Growth: 22.2%
Beta
1.5
High volatility
Current Ratio
4.1

Profitability

Gross Margin 61.9%
Operating Margin 0.4%
Net Margin 6.4%
Return on Equity (ROE) 12.7%
Return on Assets (ROA) 5.8%

Cash Flow & Balance Sheet

Operating Cash Flow$2M
Free Cash Flow$2M
Total Debt$1M
Debt-to-Equity10.4
Current Ratio4.1
Total Assets$14M

Price & Trading

Last Close$2.94
50-Day MA$3.89
200-Day MA$4.34
Avg Volume51K
Beta1.5
52-Week Range
$1.64
$6.42

About NEPHROS INC (NEPH)

CEO
Mr. Robert Banks
Employees
36
Sector
Healthcare
Industry
Medical Instruments & Supplies
Country
United States
Exchange
NASDAQ
Market Cap
$31M
Currency
USD

Nephros, Inc., a commercial-stage company, develops and sells water filtration solutions for medical and commercial applications in the United States. It offers ultrafiltration products that are used in dialysis centers for the removal of biological contaminants from water and bicarbonate concentrate; and in hospitals for the prevention of infection from waterborne pathogens, such as legionella and pseudomonas, as well as in foodservice and hospitality, and other healthcare facilities. The company also manufactures and sells water filters that enhance the taste and odor of water; reduce biofilm and scale build-up; and remove cysts, particulates, and lead from water systems. It markets its products to food service and hospitality sectors including quick-service restaurants, convenience stores, and restaurants. The company was incorporated in 1997 and is headquartered in South Orange, New Jersey.

Purification Calculator

As a halal stock with 0.66% impermissible income, you need to purify your dividends.

Enter your dividends to calculate purification amount

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Frequently Asked Questions

Is NEPHROS INC (NEPH) halal to invest in?

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

NEPHROS INC's debt ratio is 3.4% 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 12.6%.

Does NEPHROS INC require dividend purification?

Yes, NEPHROS INC has an impermissible income ratio of 0.66%, which means 0.66% 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 NEPHROS INC's key financial metrics?

NEPHROS INC has a market capitalization of $31M, trailing P/E ratio of 26.3, and revenue of $19M. The company maintains a gross margin of 61.9% and a net margin of 6.4%. Return on equity stands at 12.7%.

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.