Is Rocky Mountain Chocolate Factory, Inc. (RMCF) Halal?

NASDAQ Consumer Defensive United States $21M
✗ NOT HALAL
Confidence: 90/100
Rocky Mountain Chocolate Factory, Inc. (RMCF) is Not Halal under AAOIFI Standard 21. The company's debt ratio of 31.6% exceeds the 30% threshold, indicating excessive interest-bearing debt relative to market capitalization. Rocky Mountain Chocolate Factory, Inc. operates in the Consumer Defensive sector.

Shariah Screening — 5 Standards

Based on financial data from February 2025

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI 31.6%
/ 30%
3.1%
/ 30%
15.2%
/ 30%
0.09%
/ 5%
✗ NOT HALAL
DJIM 31.6%
/ 33%
3.1%
/ 33%
15.2%
/ 33%
0.09%
/ 5%
✓ HALAL
MSCI 34.1%
/ 33%
3.4%
/ 33%
16.4%
/ 33%
0.09%
/ 5%
✗ NOT HALAL
S&P 31.6%
/ 33%
3.1%
/ 33%
15.2%
/ 33%
0.09%
/ 5%
✓ HALAL
FTSE 34.1%
/ 33%
3.4%
/ 33%
16.4%
/ 50%
0.09%
/ 5%
✗ NOT HALAL

Financial Highlights

EPS
$-0.54
P/B Ratio
2.9
EV/EBITDA
-14.9
EV: $30M
Revenue
$30M
Growth: -4.4%
Beta
0.7
Low volatility
Current Ratio
1.7

Profitability

Gross Margin 13.9%
Operating Margin 1.1%
Net Margin -13.6%
Return on Equity (ROE) -51.0%
Return on Assets (ROA) -9.6%

Cash Flow & Balance Sheet

Operating Cash Flow-$7M
Free Cash Flow-$10M
Total Debt$7M
Debt-to-Equity153.5
Current Ratio1.7
Total Assets$21M

Price & Trading

Last Close$2.32
50-Day MA$2.41
200-Day MA$1.83
Avg Volume56K
Beta0.7
52-Week Range
$1.12
$2.99

About Rocky Mountain Chocolate Factory, Inc. (RMCF)

CEO
Mr. Jeffrey Richart Geygan
Employees
140
Sector
Consumer Defensive
Industry
Confectioners
Country
United States
Exchange
NASDAQ
Market Cap
$21M
Currency
USD

Rocky Mountain Chocolate Factory, Inc., together with its subsidiaries, produces and sells confectionery products in the United States. The company offers chocolate candies and other confectionery products, such as clusters, caramels, creams, toffees, mints, truffles, and gourmet caramel apples. It also franchises and licenses retail stores that offers chocolate and other confectionary products. Rocky Mountain Chocolate Factory, Inc. was founded in 1981 and is headquartered in Durango, Colorado.

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Frequently Asked Questions

Is Rocky Mountain Chocolate Factory, Inc. (RMCF) halal to invest in?

Based on our screening using AAOIFI Standard 21 (the strictest methodology), Rocky Mountain Chocolate Factory, Inc. 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 Rocky Mountain Chocolate Factory, Inc.'s debt ratio?

Rocky Mountain Chocolate Factory, Inc.'s debt ratio is 31.6% 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 34.1%.

What are Rocky Mountain Chocolate Factory, Inc.'s key financial metrics?

Rocky Mountain Chocolate Factory, Inc. has a market capitalization of $21M, and revenue of $30M. The company maintains a gross margin of 13.9% and a net margin of -13.6%. Return on equity stands at -51.0%.

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.