Is Smiths Group (SMIN) Halal?

LSE Industrials United Kingdom $7.1B
✓ HALAL
Confidence: 83/100
Smiths Group (SMIN) is Halal under all 5 major Shariah screening standards. With a debt ratio of just 8.2% against the AAOIFI threshold of 30%, Smiths Group comfortably passes the key financial ratio tests. The company operates in the Industrials sector (Specialty Industrial Machinery), which is not a prohibited industry under Islamic finance principles.

Shariah Screening — 5 Standards

Based on financial data from July 2024

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI 8.2%
/ 30%
5.7%
/ 30%
6.7%
/ 30%
N/A ✓ HALAL
DJIM 8.2%
/ 33%
5.7%
/ 33%
6.7%
/ 33%
N/A ✓ HALAL
MSCI 15.6%
/ 33%
10.8%
/ 33%
12.9%
/ 33%
N/A ✓ HALAL
S&P 8.2%
/ 33%
5.7%
/ 33%
6.7%
/ 33%
N/A ✓ HALAL
FTSE 15.6%
/ 33%
10.8%
/ 33%
12.9%
/ 50%
N/A ✓ HALAL

Financial Highlights

P/E Ratio
30.9
Forward: 18.9
EPS
$0.74
Dividend Yield
204.0%
Payout: 62.0%
P/B Ratio
446.0
EV/EBITDA
15.6
EV: $8.3B
Beta
0.6
Low volatility
Current Ratio
3.0

Profitability

Gross Margin 37.0%
Operating Margin 18.5%
Net Margin 8.7%
Return on Equity (ROE) 12.5%
Return on Assets (ROA) 6.5%

Cash Flow & Balance Sheet

Operating Cash Flow$418M
Free Cash Flow$332M
Total Debt$659M
Debt-to-Equity73.1
Current Ratio3.0
Total Assets$4.2B

Price & Trading

Last CloseGBp 2,308.00
50-Day MAGBp 2,543.50
200-Day MAGBp 2,418.18
Avg Volume1.3M
Beta0.6
52-Week Range
GBp 1,671.00
GBp 2,746.28

About Smiths Group (SMIN)

CEO
Mr. Roland Henry Clyne Carter
Employees
16,000
Sector
Industrials
Industry
Specialty Industrial Machinery
Country
United Kingdom
Exchange
LSE
Market Cap
$7.1B
Currency
GBp

Smiths Group plc operates as an industrial technology company in Americas, Europe, the Asia Pacific, and internationally. The company operates through four segments: John Crane, Smiths Detection, Flex-Tek, and Smiths Interconnect. The John Crane business offers mechanical seals, seal support systems, power transmission couplings, and specialized filtration systems. The Flex-Tek business offers engineered components, flexible hosing, and rigid tubing that heat and move fluids and gases. The Smiths Detection business provides sensors and systems that detect and identify explosives, narcotics, weapons, chemical agents, biohazards, and contraband. The Smiths Interconnect business provides specialized electronic and radio frequency board-level and waveguide devices, connectors, cables, test sockets, and sub-systems used in secure connectivity applications. It serves general industrial, safety and security, energy, and aerospace markets. The company was formerly known as Smiths Industries and changed its name to Smiths Group plc in 2000. Smiths Group plc was founded in 1851 and is headquartered in London, the United Kingdom.

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Frequently Asked Questions

Is Smiths Group (SMIN) halal to invest in?

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

Smiths Group's debt ratio is 8.2% 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 15.6%.

What are Smiths Group's key financial metrics?

Smiths Group has a market capitalization of $7.1B, trailing P/E ratio of 30.9. The company maintains a gross margin of 37.0% and a net margin of 8.7%. Return on equity stands at 12.5%.

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.