Is REED (REED) Halal?

AMEX Consumer Defensive United States $44M
✗ NOT HALAL
Confidence: 90/100
REED (REED) is Not Halal under AAOIFI Standard 21. The company's debt ratio of 39.4% exceeds the 30% threshold, indicating excessive interest-bearing debt relative to market capitalization. REED operates in the Consumer Defensive sector.

Shariah Screening — 5 Standards

Based on financial data from December 2024

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI 39.4%
/ 30%
39.3%
/ 30%
15.6%
/ 30%
1.17%
/ 5%
✗ NOT HALAL
DJIM 39.4%
/ 33%
39.3%
/ 33%
15.6%
/ 33%
1.17%
/ 5%
✗ NOT HALAL
MSCI 41.4%
/ 33%
41.3%
/ 33%
16.4%
/ 33%
1.17%
/ 5%
✗ NOT HALAL
S&P 39.4%
/ 33%
39.3%
/ 33%
15.6%
/ 33%
1.17%
/ 5%
✗ NOT HALAL
FTSE 41.4%
/ 33%
41.3%
/ 33%
16.4%
/ 50%
1.17%
/ 5%
✗ NOT HALAL

Financial Highlights

EPS
$-1.91
P/B Ratio
4.9
EV/EBITDA
-2.9
EV: $44M
Revenue
$38M
Growth: -23.1%
Beta
0.6
Low volatility
Current Ratio
1.6

Profitability

Gross Margin 20.4%
Operating Margin -46.9%
Net Margin -46.5%
Return on Equity (ROE) -200.5%
Return on Assets (ROA) -39.1%

Cash Flow & Balance Sheet

Operating Cash Flow-$6M
Free Cash Flow-$6M
Total Debt$10M
Debt-to-Equity109.6
Current Ratio1.6
Total Assets$25M

Price & Trading

Last Close$2.91
50-Day MA$2.76
200-Day MA$4.99
Avg Volume36K
Beta0.6
52-Week Range
$1.75
$12.00

About REED (REED)

CEO
Mr. Yumin Dai
Sector
Consumer Defensive
Industry
Beverages - Non-Alcoholic
Country
United States
Exchange
AMEX
Market Cap
$44M
Currency
USD

Reed's, Inc. engages in the manufacture and distribution of natural beverages in the United States, Canada, the United Kingdom, South Africa, the Caribbean, the European Union, and the Asia-Pacific region. The company offers reed's craft ginger beer; reed's real ginger ales; reed's classic mules; reed's hard ginger ale; reed's ready to drink; reed's functional soda; flying cauldron soda; and virgil's handcrafted sodas. It sells its products to natural food and gourmet retailers, grocery store chains, mass merchants, club stores, convenience and drug stores, liquor stores, industrial cafeterias, and on-premise bars and restaurants, as well as directly to consumers through online, distributors; and Reed's and Virgil's brand names. The company was formerly known as Original Beverage Corporation and changed its name to Reed's, Inc. in 2001. The company was founded in 1987 and is headquartered in Norwalk, Connecticut.

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Frequently Asked Questions

Is REED (REED) halal to invest in?

Based on our screening using AAOIFI Standard 21 (the strictest methodology), REED is Not Halal. The company fails one or more screening criteria. We screen against all 5 major standards: AAOIFI, DJIM, MSCI, S&P, and FTSE.

What is REED's debt ratio?

REED's debt ratio is 39.4% 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 41.4%.

What are REED's key financial metrics?

REED has a market capitalization of $44M, and revenue of $38M. The company maintains a gross margin of 20.4% and a net margin of -46.5%. Return on equity stands at -200.5%.

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.