Is nVent Electric plc (NVT) Halal?

NYSE Industrials United Kingdom $18.9B
✓ HALAL
Confidence: 95/100
nVent Electric plc (NVT) is Halal under all 5 major Shariah screening standards. With a debt ratio of just 9.9% against the AAOIFI threshold of 30%, nVent Electric plc comfortably passes the key financial ratio tests. The company operates in the Industrials sector (Electrical Equipment & Parts), 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 9.9%
/ 30%
1.4%
/ 30%
5.0%
/ 30%
0.21%
/ 5%
✓ HALAL
DJIM 9.9%
/ 33%
1.4%
/ 33%
5.0%
/ 33%
0.21%
/ 5%
✓ HALAL
MSCI 24.7%
/ 33%
3.5%
/ 33%
12.5%
/ 33%
0.21%
/ 5%
✓ HALAL
S&P 9.9%
/ 33%
1.4%
/ 33%
5.0%
/ 33%
0.21%
/ 5%
✓ HALAL
FTSE 24.7%
/ 33%
3.5%
/ 33%
12.5%
/ 50%
0.21%
/ 5%
✓ HALAL

Financial Highlights

P/E Ratio
45.0
Forward: 23.9
EPS
$2.60
Dividend Yield
72.0%
Payout: 30.8%
P/B Ratio
5.1
EV/EBITDA
24.3
EV: $20.4B
Revenue
$3.9B
Growth: 41.8%
Beta
1.3
High volatility
Current Ratio
1.6

Profitability

Gross Margin 37.7%
Operating Margin 16.2%
Net Margin 18.2%
Return on Equity (ROE) 12.3%
Return on Assets (ROA) 5.8%

Cash Flow & Balance Sheet

Operating Cash Flow$465M
Free Cash Flow$372M
Total Debt$1.7B
Debt-to-Equity45.9
Current Ratio1.6
Total Assets$6.9B

Price & Trading

Last Close$118.44
50-Day MA$114.78
200-Day MA$99.11
Avg Volume2.3M
Beta1.3
52-Week Range
$41.70
$129.94

About nVent Electric plc (NVT)

CEO
Ms. Beth A. Wozniak
Employees
12,000
Sector
Industrials
Industry
Electrical Equipment & Parts
Country
United Kingdom
Exchange
NYSE
Market Cap
$18.9B
Currency
USD

nVent Electric plc designs, manufactures, markets, installs, and services electrical connection and protection solutions in the America, Europe, the Middle East, India, Africa, the Asia Pacific, and internationally. It operates in two segments, Systems Protection and Electrical Connections. The company provides solutions to protect electronics, systems, and data in mission critical applications, including data centers. It also offers solutions that connect power and data infrastructure. In addition, the company provides bus systems, cable management, control buildings, liquid and air-cooling solutions, electrical connections, enclosures, equipment protection, power connections, and power management solutions, switchgear systems, as well as tools and test instruments. The company markets its products through electrical distributors, retail, contractors, and original equipment manufacturers under the nVent CADDY, ERICO, HOFFMAN, ILSCO, SCHROFF, and TRACHTE brand names. Its products are used for various applications, such as industrial, commercial and residential, infrastructure, and energy. The company was founded in 1903 and is based in London, the United Kingdom.

Purification Calculator

As a halal stock with 0.21% impermissible income, you need to purify your dividends.

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Frequently Asked Questions

Is nVent Electric plc (NVT) halal to invest in?

Based on our screening using AAOIFI Standard 21 (the strictest methodology), nVent Electric plc 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 nVent Electric plc's debt ratio?

nVent Electric plc's debt ratio is 9.9% 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 24.7%.

Does nVent Electric plc require dividend purification?

Yes, nVent Electric plc has an impermissible income ratio of 0.21%, which means 0.21% 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 nVent Electric plc's key financial metrics?

nVent Electric plc has a market capitalization of $18.9B, trailing P/E ratio of 45.0, and revenue of $3.9B. The company maintains a gross margin of 37.7% and a net margin of 18.2%. Return on equity stands at 12.3%.

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.