Is PRICESMART INC (PSMT) Halal?
Shariah Screening — 5 Standards
Based on financial data from August 2025
| Standard | Debt Ratio | Cash Ratio | Receivables | Income | Status |
|---|---|---|---|---|---|
| AAOIFI | 7.4% / 30% | 7.0% / 30% | 0.4% / 30% | 0.19% / 5% | ✓ HALAL |
| DJIM | 7.4% / 33% | 7.0% / 33% | 0.4% / 33% | 0.19% / 5% | ✓ HALAL |
| MSCI | 14.5% / 33% | 13.8% / 33% | 0.8% / 33% | 0.19% / 5% | ✓ HALAL |
| S&P | 7.4% / 33% | 7.0% / 33% | 0.4% / 33% | 0.19% / 5% | ✓ HALAL |
| FTSE | 14.5% / 33% | 13.8% / 33% | 0.8% / 50% | 0.19% / 5% | ✓ HALAL |
Financial Highlights
Profitability
| Gross Margin | 17.4% | |
| Operating Margin | 4.6% | |
| Net Margin | 2.8% | |
| Return on Equity (ROE) | 12.2% | |
| Return on Assets (ROA) | 6.8% |
Cash Flow & Balance Sheet
| Operating Cash Flow | $261M |
| Free Cash Flow | $103M |
| Total Debt | $329M |
| Debt-to-Equity | 25.5 |
| Current Ratio | 1.3 |
| Total Assets | $2.3B |
Price & Trading
| Last Close | $146.43 |
| 50-Day MA | $148.46 |
| 200-Day MA | $124.30 |
| Avg Volume | 215K |
| Beta | 0.8 |
|
52-Week Range
$81.25
| |
About PRICESMART INC (PSMT)
PriceSmart, Inc. owns and operates U.S.-style membership shopping warehouse clubs in the United States, Central America, the Caribbean, and Colombia. The company provides basic and private label merchandise and consumable and non-consumable products under the Member's Selection brand, including groceries, cleaning supplies, health and beauty aids, meat, produce, deli, seafood, and poultry. It also offers electronics, large and small appliances, automotive, hardware, sporting goods, seasonal products, clothing, domestic, and home furnishing products. In addition, the company offers food and bakery services, as well as health services, such as optical, audiology, and pharmacy. Further, it operates an e-commerce platform, as well as offers curbside pickup and delivery services. PriceSmart, Inc. was incorporated in 1994 and is headquartered in San Diego, California.
Purification Calculator
As a halal stock with 0.19% impermissible income, you need to purify your dividends.
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Frequently Asked Questions
Is PRICESMART INC (PSMT) halal to invest in?
Based on our screening using AAOIFI Standard 21 (the strictest methodology), PRICESMART 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 PRICESMART INC's debt ratio?
PRICESMART INC's debt ratio is 7.4% 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 14.5%.
Does PRICESMART INC require dividend purification?
Yes, PRICESMART INC has an impermissible income ratio of 0.19%, which means 0.19% 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 PRICESMART INC's key financial metrics?
PRICESMART INC has a market capitalization of $4.5B, trailing P/E ratio of 30.1, and revenue of $5.3B. The company maintains a gross margin of 17.4% and a net margin of 2.8%. Return on equity stands at 12.2%.
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.