Is ORACLE CORP (ORCL) Halal?

NYSE Technology United States $401.7B
✓ HALAL
Confidence: 95/100
ORACLE CORP (ORCL) is Halal under 3 of 5 Shariah screening standards, including AAOIFI Standard 21. With a debt ratio of just 23.7% against the AAOIFI threshold of 30%, ORACLE CORP comfortably passes the key financial ratio tests. The company operates in the Technology sector (Software - Infrastructure), which is not a prohibited industry under Islamic finance principles.

Shariah Screening — 5 Standards

Based on financial data from May 2025

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI 23.7%
/ 30%
2.5%
/ 30%
1.9%
/ 30%
1.01%
/ 5%
✓ HALAL
DJIM 23.7%
/ 33%
2.5%
/ 33%
1.9%
/ 33%
1.01%
/ 5%
✓ HALAL
MSCI 61.8%
/ 33%
6.7%
/ 33%
5.1%
/ 33%
1.01%
/ 5%
✗ NOT HALAL
S&P 23.7%
/ 33%
2.5%
/ 33%
1.9%
/ 33%
1.01%
/ 5%
✓ HALAL
FTSE 61.8%
/ 33%
6.7%
/ 33%
5.1%
/ 50%
1.01%
/ 5%
✗ NOT HALAL

Financial Highlights

P/E Ratio
25.1
Forward: 17.5
EPS
$5.57
Dividend Yield
143.0%
Payout: 35.9%
P/B Ratio
12.0
EV/EBITDA
19.3
EV: $530.2B
Revenue
$57.4B
Growth: 21.7%
Beta
1.6
High volatility
Current Ratio
1.3

Profitability

Gross Margin 67.1%
Operating Margin 32.7%
Net Margin 25.3%
Return on Equity (ROE) 57.6%
Return on Assets (ROA) 6.3%

Cash Flow & Balance Sheet

Operating Cash Flow$20.8B
Free Cash Flow-$394M
Total Debt$104.1B
Debt-to-Equity415.3
Current Ratio1.3
Total Assets$168.4B

Price & Trading

Last Close$142.81
50-Day MA$157.32
200-Day MA$219.34
Avg Volume26.8M
Beta1.6
52-Week Range
$118.86
$345.72

About ORACLE CORP (ORCL)

CEO
Mr. Michael D. Sicilia
Employees
162,000
Sector
Technology
Industry
Software - Infrastructure
Country
United States
Exchange
NYSE
Market Cap
$401.7B
Currency
USD

Oracle Corporation offers products and services that address enterprise information technology environments worldwide. Its Oracle cloud software as a service offering include various cloud software applications, including Oracle Fusion cloud enterprise resource planning ERP, Oracle Fusion cloud enterprise performance management EPM, Oracle Fusion cloud supply chain and manufacturing management SCM, Oracle Fusion cloud human capital management HCM, and NetSuite applications suite, Oracle Health applications, as well as Oracle Fusion Sales, Service, and Marketing. The company also offers cloud-based industry solutions for various industries; Oracle cloud license and on-premise license; and Oracle license support services. In addition, it provides cloud and license business' infrastructure technologies, such as the Oracle Database and MySQL Database; Java, a software development language; and middleware, including development tools and others. The company's cloud and license business' infrastructure technologies also comprise cloud-based compute, storage, and networking capabilities; and Oracle autonomous database, as well as AI, Internet-of-Things, machine learning, digital assistant, and blockchain. Further, it provides hardware products and other hardware-related software offerings, including Oracle engineered systems, enterprise servers, storage solutions, industry-specific hardware, virtualization software, operating systems, management software, and related hardware support services, and consulting and advanced customer services. It markets and sells its cloud, license, hardware, support, and services offerings directly to businesses in various industries, government agencies, and educational institutions, as well as through indirect channels. Oracle Corporation has a strategic alliance with Metron, Inc. The company was founded in 1977 and is headquartered in Austin, Texas.

Purification Calculator

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Frequently Asked Questions

Is ORACLE CORP (ORCL) halal to invest in?

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

ORACLE CORP's debt ratio is 23.7% 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 61.8%.

Does ORACLE CORP require dividend purification?

Yes, ORACLE CORP has an impermissible income ratio of 1.01%, which means 1.01% 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 ORACLE CORP's key financial metrics?

ORACLE CORP has a market capitalization of $401.7B, trailing P/E ratio of 25.1, and revenue of $57.4B. The company maintains a gross margin of 67.1% and a net margin of 25.3%. Return on equity stands at 57.6%.

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.