Is NEWMARKET CORP (NEU) Halal?

NYSE Basic Materials United States $5.9B
✓ HALAL
Confidence: 95/100
NEWMARKET CORP (NEU) is Halal under all 5 major Shariah screening standards. With a debt ratio of just 16.2% against the AAOIFI threshold of 30%, NEWMARKET CORP comfortably passes the key financial ratio tests. The company operates in the Basic Materials sector (Specialty Chemicals), 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 16.2%
/ 30%
1.3%
/ 30%
7.0%
/ 30%
2.07%
/ 5%
✓ HALAL
DJIM 16.2%
/ 33%
1.3%
/ 33%
7.0%
/ 33%
2.07%
/ 5%
✓ HALAL
MSCI 28.0%
/ 33%
2.2%
/ 33%
12.1%
/ 33%
2.07%
/ 5%
✓ HALAL
S&P 16.2%
/ 33%
1.3%
/ 33%
7.0%
/ 33%
2.07%
/ 5%
✓ HALAL
FTSE 28.0%
/ 33%
2.2%
/ 33%
12.1%
/ 50%
2.07%
/ 5%
✓ HALAL

Financial Highlights

P/E Ratio
14.1
Forward: 24.3
EPS
$44.41
Dividend Yield
183.0%
Payout: 25.3%
P/B Ratio
3.3
EV/EBITDA
9.4
EV: $6.8B
Revenue
$2.7B
Growth: -2.9%
Beta
0.5
Low volatility
Current Ratio
2.5

Profitability

Gross Margin 31.5%
Operating Margin 19.5%
Net Margin 15.4%
Return on Equity (ROE) 25.9%
Return on Assets (ROA) 11.3%

Cash Flow & Balance Sheet

Operating Cash Flow$569M
Free Cash Flow$491M
Total Debt$977M
Debt-to-Equity55.1
Current Ratio2.5
Total Assets$3.5B

Price & Trading

Last Close$629.12
50-Day MA$638.07
200-Day MA$725.43
Avg Volume158K
Beta0.5
52-Week Range
$510.07
$875.97

About NEWMARKET CORP (NEU)

CEO
Mr. Thomas E. Gottwald
Employees
2,050
Sector
Basic Materials
Industry
Specialty Chemicals
Country
United States
Exchange
NYSE
Market Cap
$5.9B
Currency
USD

NewMarket Corporation, through its subsidiaries, primarily engages in the manufacture and sale of petroleum additives. It offers lubricant additives for use in various vehicle and industrial applications, including engine oils, transmission fluids, off-road powertrain and hydraulic systems, gear oils, hydraulic oils, turbine oils, and other applications where metal-to-metal moving parts are utilized; engine oil additives designed for passenger cars, motorcycles, on and off-road heavy duty commercial equipment, locomotives, and engines in ocean-going vessels; driveline additives designed for products, such as transmission fluids, axle fluids, and off-road powertrain fluids; and industrial additives designed for products for industrial applications consisting of hydraulic fluids, greases, industrial gear fluids, and industrial specialty applications comprising turbine oils. The company also provides fuel additives that are used to enhance the oil refining process and the performance of gasoline, diesel, biofuels, and other fuels to industry, government, original equipment manufacturers, and individual customers. In addition, it engages in the marketing of antiknock compounds, as well as contracted manufacturing and related services; and owns and manages a real property in Virginia. The company operates in North America, Latin America, the Asia Pacific, Europe, the Middle East, Africa, India, and internationally. NewMarket Corporation was founded in 1887 and is headquartered in Richmond, Virginia.

Purification Calculator

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Frequently Asked Questions

Is NEWMARKET CORP (NEU) halal to invest in?

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

NEWMARKET CORP's debt ratio is 16.2% 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 28.0%.

Does NEWMARKET CORP require dividend purification?

Yes, NEWMARKET CORP has an impermissible income ratio of 2.07%, which means 2.07% 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 NEWMARKET CORP's key financial metrics?

NEWMARKET CORP has a market capitalization of $5.9B, trailing P/E ratio of 14.1, and revenue of $2.7B. The company maintains a gross margin of 31.5% and a net margin of 15.4%. Return on equity stands at 25.9%.

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.