Is PEPSICO INC (PEP) Halal?
Shariah Screening — 5 Standards
Based on financial data from December 2025
| Standard | Debt Ratio | Cash Ratio | Receivables | Income | Status |
|---|---|---|---|---|---|
| AAOIFI | 22.9% / 30% | 4.4% / 30% | 5.3% / 30% | 2.26% / 5% | ✓ HALAL |
| DJIM | 22.9% / 33% | 4.4% / 33% | 5.3% / 33% | 2.26% / 5% | ✓ HALAL |
| MSCI | 46.5% / 33% | 8.9% / 33% | 10.7% / 33% | 2.26% / 5% | ✗ NOT HALAL |
| S&P | 22.9% / 33% | 4.4% / 33% | 5.3% / 33% | 2.26% / 5% | ✓ HALAL |
| FTSE | 46.5% / 33% | 8.9% / 33% | 10.7% / 50% | 2.26% / 5% | ✗ NOT HALAL |
Financial Highlights
Profitability
| Gross Margin | 54.5% | |
| Operating Margin | 14.1% | |
| Net Margin | 8.8% | |
| Return on Equity (ROE) | 42.8% | |
| Return on Assets (ROA) | 9.1% |
Cash Flow & Balance Sheet
| Operating Cash Flow | $12.1B |
| Free Cash Flow | $7.7B |
| Total Debt | $49.9B |
| Debt-to-Equity | 258.1 |
| Current Ratio | 0.9 |
| Total Assets | $107.4B |
Price & Trading
| Last Close | $150.83 |
| 50-Day MA | $158.50 |
| 200-Day MA | $147.14 |
| Avg Volume | 7.9M |
| Beta | 0.4 |
|
52-Week Range
$127.60
| |
About PEPSICO INC (PEP)
PepsiCo, Inc. engages in the manufacture, marketing, distribution, and sale of various beverages and convenient foods worldwide. The company operates through six segments: PepsiCo Foods North America; PepsiCo Beverages North America; International Beverages Franchise; Europe, Middle East and Africa; Latin America Foods; and Asia Pacific Foods. It offers cereals, chips, dips, granola bars, oatmeal, pasta, rice, and syrups and mixes; refrigerated dips and spreads; beverage concentrates, fountain syrups, and finished goods; and ready-to-drink tea and coffee products. The company also provides SodaStream sparkling water makers and related products, as well as various dairy products under the Agusha, Chudo, and Domik v Derevne brands. It serves wholesale and other distributors, foodservice customers, grocery stores, drug stores, convenience stores, discount/dollar stores, mass merchandisers, membership stores, hard discounters, e-commerce retailers and authorized independent bottlers, and others through a network of direct-store-delivery, customer warehouse, and distributor networks, as well as directly to consumers through e-commerce platforms and retailers. PepsiCo, Inc. was founded in 1898 and is based in Purchase, New York.
Purification Calculator
As a halal stock with 2.26% impermissible income, you need to purify your dividends.
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Frequently Asked Questions
Is PEPSICO INC (PEP) halal to invest in?
Based on our screening using AAOIFI Standard 21 (the strictest methodology), PEPSICO 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 PEPSICO INC's debt ratio?
PEPSICO INC's debt ratio is 22.9% 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 46.5%.
Does PEPSICO INC require dividend purification?
Yes, PEPSICO INC has an impermissible income ratio of 2.26%, which means 2.26% 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 PEPSICO INC's key financial metrics?
PEPSICO INC has a market capitalization of $209.3B, trailing P/E ratio of 25.5, and revenue of $93.9B. The company maintains a gross margin of 54.5% and a net margin of 8.8%. Return on equity stands at 42.8%.
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.