Is SELECT MEDICAL HOLDINGS CORP (SEM) Halal?

NYSE Healthcare United States $2.0B
✗ NOT HALAL
Confidence: 90/100
SELECT MEDICAL HOLDINGS CORP (SEM) is Not Halal under AAOIFI Standard 21. The company's debt ratio of 142.3% exceeds the 30% threshold, indicating excessive interest-bearing debt relative to market capitalization. SELECT MEDICAL HOLDINGS CORP operates in the Healthcare sector.

Shariah Screening — 5 Standards

Based on financial data from December 2025

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI 142.3%
/ 30%
1.3%
/ 30%
42.9%
/ 30%
1.0%
/ 5%
✗ NOT HALAL
DJIM 142.3%
/ 33%
1.3%
/ 33%
42.9%
/ 33%
1.0%
/ 5%
✗ NOT HALAL
MSCI 49.0%
/ 33%
0.5%
/ 33%
14.8%
/ 33%
1.0%
/ 5%
✗ NOT HALAL
S&P 142.3%
/ 33%
1.3%
/ 33%
42.9%
/ 33%
1.0%
/ 5%
✗ NOT HALAL
FTSE 49.0%
/ 33%
0.5%
/ 33%
14.8%
/ 50%
1.0%
/ 5%
✗ NOT HALAL

Financial Highlights

P/E Ratio
14.0
Forward: 12.0
EPS
$1.16
Dividend Yield
153.0%
Payout: 21.6%
P/B Ratio
1.2
EV/EBITDA
10.9
EV: $5.2B
Revenue
$5.5B
Beta
1.0
Average volatility
Current Ratio
1.0

Profitability

Gross Margin 17.0%
Operating Margin 4.6%
Net Margin 2.7%
Return on Equity (ROE) 10.6%
Return on Assets (ROA) 3.7%

Cash Flow & Balance Sheet

Operating Cash Flow$346M
Free Cash Flow$117M
Total Debt$2.9B
Debt-to-Equity140.9
Current Ratio1.0
Total Assets$5.9B

Price & Trading

Last Close$16.29
50-Day MA$15.72
200-Day MA$14.37
Avg Volume1.8M
Beta1.0
52-Week Range
$11.65
$18.61

About SELECT MEDICAL HOLDINGS CORP (SEM)

CEO
Mr. Thomas P. Mullin
Employees
30,800
Sector
Healthcare
Industry
Medical Care Facilities
Country
United States
Exchange
NYSE
Market Cap
$2.0B
Currency
USD

Select Medical Holdings Corporation, through its subsidiaries, operates critical illness recovery hospitals, rehabilitation hospitals, and outpatient rehabilitation clinics in the United States. The Critical Illness Recovery Hospital segment consists of hospitals that provide services for heart failure, infectious disease, respiratory failure and pulmonary disease, surgery requiring prolonged recovery, renal disease, neurological events, and trauma. The Rehabilitation Hospital segment offers therapy and rehabilitation treatments, including rehabilitative services for brain and spinal cord injuries, strokes, amputations, neurological disorders, orthopedic conditions, pediatric congenital or acquired disabilities, and cancer. The Outpatient Rehabilitation segment operates rehabilitation clinics that provide physical, occupational, and speech rehabilitation programs and services; and specialized programs, such as functional programs for work related injuries, hand therapy, pelvic health rehabilitation, post-concussion rehabilitation, pediatric and cancer rehabilitation, and athletic training services. Select Medical Holdings Corporation was founded in 1996 and is headquartered in Mechanicsburg, Pennsylvania.

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Frequently Asked Questions

Is SELECT MEDICAL HOLDINGS CORP (SEM) halal to invest in?

Based on our screening using AAOIFI Standard 21 (the strictest methodology), SELECT MEDICAL HOLDINGS CORP 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 SELECT MEDICAL HOLDINGS CORP's debt ratio?

SELECT MEDICAL HOLDINGS CORP's debt ratio is 142.3% 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 49.0%.

What are SELECT MEDICAL HOLDINGS CORP's key financial metrics?

SELECT MEDICAL HOLDINGS CORP has a market capitalization of $2.0B, trailing P/E ratio of 14.0, and revenue of $5.5B. The company maintains a gross margin of 17.0% and a net margin of 2.7%. Return on equity stands at 10.6%.

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.