Is Snap-on Inc (SNA) Halal?

NYSE Industrials United States $18.7B
✓ HALAL
Confidence: 95/100
Snap-on Inc (SNA) is Halal under all 5 major Shariah screening standards. With a debt ratio of just 6.7% against the AAOIFI threshold of 30%, Snap-on Inc comfortably passes the key financial ratio tests. The company operates in the Industrials sector (Tools & Accessories), 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 6.7%
/ 30%
8.4%
/ 30%
8.3%
/ 30%
1.14%
/ 5%
✓ HALAL
DJIM 6.7%
/ 33%
8.4%
/ 33%
8.3%
/ 33%
1.14%
/ 5%
✓ HALAL
MSCI 15.4%
/ 33%
19.3%
/ 33%
19.0%
/ 33%
1.14%
/ 5%
✓ HALAL
S&P 6.7%
/ 33%
8.4%
/ 33%
8.3%
/ 33%
1.14%
/ 5%
✓ HALAL
FTSE 15.4%
/ 33%
19.3%
/ 33%
19.0%
/ 50%
1.14%
/ 5%
✓ HALAL

Financial Highlights

P/E Ratio
18.7
Forward: 16.7
EPS
$19.17
Dividend Yield
272.0%
Payout: 46.2%
P/B Ratio
3.1
EV/EBITDA
13.1
EV: $18.3B
Revenue
$5.2B
Growth: 3.1%
Beta
0.7
Low volatility
Current Ratio
4.8

Profitability

Gross Margin 51.7%
Operating Margin 25.4%
Net Margin 19.7%
Return on Equity (ROE) 18.3%
Return on Assets (ROA) 10.0%

Cash Flow & Balance Sheet

Operating Cash Flow$1.1B
Free Cash Flow$1.0B
Total Debt$1.3B
Debt-to-Equity21.7
Current Ratio4.8
Total Assets$8.4B

Price & Trading

Last Close$362.00
50-Day MA$373.23
200-Day MA$343.76
Avg Volume362K
Beta0.7
52-Week Range
$289.81
$390.13

About Snap-on Inc (SNA)

CEO
Mr. Nicholas T. Pinchuk
Employees
13,000
Sector
Industrials
Industry
Tools & Accessories
Country
United States
Exchange
NYSE
Market Cap
$18.7B
Currency
USD

Snap-on Incorporated manufactures and markets tools, equipment, diagnostics, and repair information and systems solutions for professional users worldwide. It operates through Commercial & Industrial Group, Snap-on Tools Group, Repair Systems & Information Group, and Financial Services segments. The company offers hand tools, such as wrenches, sockets, ratchet wrenches, pliers, screwdrivers, punches and chisels, saws and cutting tools, pruning tools, torque tools, and other similar products; power tools, including cordless, pneumatic, and hydraulic and corded tools; impact wrenches, ratchets, screwdrivers, drills, sanders, and grinders. It also provides tool chests and roll cabinet stool storage products; facility-level tool control and asset management hardware and software; diagnostics, information, and management systems product comprising handheld and computer-based diagnostic products, service and repair information products, diagnostic software solutions, electronic parts catalogs, business management systems and services, point-of-sale systems, integrated systems for vehicle service shops, OEM purchasing facilitation services, and warranty management systems and analytics to help OEM dealerships manage and track performance. In addition, the company offers heel alignment equipment, wheel balancers, tire changers, vehicle lifts, test lane equipment, collision repair equipment, vehicle air conditioning service equipment, brake service equipment, fluid exchange equipment, transmission troubleshooting equipment, safety testing equipment, battery chargers, and hoists; and training programs and after-sales support. It serves the vehicle service and repair, and industrial sectors through mobile van channel, company direct sales, distributors, and digital commerce. Snap-on Incorporated was incorporated in 1920 and is based in Kenosha, Wisconsin.

Purification Calculator

As a halal stock with 1.14% impermissible income, you need to purify your dividends.

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Frequently Asked Questions

Is Snap-on Inc (SNA) halal to invest in?

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

Snap-on Inc's debt ratio is 6.7% 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 15.4%.

Does Snap-on Inc require dividend purification?

Yes, Snap-on Inc has an impermissible income ratio of 1.14%, which means 1.14% 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 Snap-on Inc's key financial metrics?

Snap-on Inc has a market capitalization of $18.7B, trailing P/E ratio of 18.7, and revenue of $5.2B. The company maintains a gross margin of 51.7% and a net margin of 19.7%. Return on equity stands at 18.3%.

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.