Is Safran (SAF) Halal?

PAR Industrials France $115.7B
✓ HALAL
Confidence: 95/100
Safran (SAF) is Halal under all 5 major Shariah screening standards. With a debt ratio of just 4.0% against the AAOIFI threshold of 30%, Safran comfortably passes the key financial ratio tests. The company operates in the Industrials sector (Aerospace & Defense), which is not a prohibited industry under Islamic finance principles.

Shariah Screening — 5 Standards

Based on financial data from December 2025

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI 4.0%
/ 30%
5.2%
/ 30%
9.7%
/ 30%
0.69%
/ 5%
✓ HALAL
DJIM 4.0%
/ 33%
5.2%
/ 33%
9.7%
/ 33%
0.69%
/ 5%
✓ HALAL
MSCI 8.6%
/ 33%
11.2%
/ 33%
20.7%
/ 33%
0.69%
/ 5%
✓ HALAL
S&P 4.0%
/ 33%
5.2%
/ 33%
9.7%
/ 33%
0.69%
/ 5%
✓ HALAL
FTSE 8.6%
/ 33%
11.2%
/ 33%
20.7%
/ 50%
0.69%
/ 5%
✓ HALAL

Financial Highlights

P/E Ratio
16.2
Forward: 22.4
EPS
$17.18
Dividend Yield
120.0%
Payout: 16.9%
P/B Ratio
7.8
EV/EBITDA
19.5
EV: $115.2B
Revenue
$31.2B
Growth: 12.5%
Beta
0.9
Average volatility
Current Ratio
0.9

Profitability

Gross Margin 48.0%
Operating Margin 13.2%
Net Margin 23.0%
Return on Equity (ROE) 55.6%
Return on Assets (ROA) 4.9%

Cash Flow & Balance Sheet

Operating Cash Flow$5.7B
Free Cash Flow$3.9B
Total Debt$5.3B
Debt-to-Equity34.4
Current Ratio0.9
Total Assets$61.8B

Price & Trading

Last CloseEUR 281.70
50-Day MAEUR 313.93
200-Day MAEUR 297.92
Avg Volume568K
Beta0.9
52-Week Range
EUR 190.70
EUR 350.80

About Safran (SAF)

CEO
Mr. Olivier Andries
Employees
103,710
Sector
Industrials
Industry
Aerospace & Defense
Country
France
Exchange
PAR
Market Cap
$115.7B
Currency
EUR

Safran SA, together with its subsidiaries, engages in the aerospace and defense businesses in France, rest of Europe, the Americas, the Asia-Pacific, Africa, and the Middle East. The company operates through three segments: Aerospace Propulsion; Aircraft Equipment, Defense and Aerosystems; and Aircraft Interiors. The Aerospace Propulsion segment designs, develops, produces, and markets propulsion and mechanical power transmission systems for commercial aircraft, military transport, training and combat aircraft, civil and military helicopters, and drones; and offers maintenance, repair, and overhaul (MRO) services, as well as sells spare parts. The Aircraft Equipment, Defense and Aerosystems segment provides landing gears and brakes; nacelles and reversers; avionics, such as flight controls and onboard information systems; security systems, including evacuation slides and oxygen masks; onboard computers and fuel systems; electrical power management systems and related engineering services; optronic equipment and sights, navigation equipment and sensors, infantry, and drones; MRO services; and sells spare parts. The Aircraft Interiors segment designs, develops, manufactures, and markets aircraft seats for passengers and crew; cabin equipment, overhead bins, class dividers, passenger service units, cabin interior solutions, chilling systems, galleys, electrical inserts, and trolleys; and cabin equipment and passenger comfort-focused solutions such as water distribution, lavatories, air systems, and in-flight entertainment and connectivity (IFEC) solutions. The company's products and services are used in commercial civil and military aircrafts, and helicopters. Safran SA was founded in 1896 and is headquartered in Paris, France.

Purification Calculator

As a halal stock with 0.69% impermissible income, you need to purify your dividends.

Enter your dividends to calculate purification amount

Related Halal Stocks in Industrials

Frequently Asked Questions

Is Safran (SAF) halal to invest in?

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

Safran's debt ratio is 4.0% 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 8.6%.

Does Safran require dividend purification?

Yes, Safran has an impermissible income ratio of 0.69%, which means 0.69% 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 Safran's key financial metrics?

Safran has a market capitalization of $115.7B, trailing P/E ratio of 16.2, and revenue of $31.2B. The company maintains a gross margin of 48.0% and a net margin of 23.0%. Return on equity stands at 55.6%.

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.