Is CHEMICAL & MINING CO OF CHILE INC (SQM) Halal?
Shariah Screening — 5 Standards
Based on financial data from December 2025
| Standard | Debt Ratio | Cash Ratio | Receivables | Income | Status |
|---|---|---|---|---|---|
| AAOIFI | 24.0% / 30% | 12.1% / 30% | 2.7% / 30% | 2.27% / 5% | ✓ HALAL |
| DJIM | 24.0% / 33% | 12.1% / 33% | 2.7% / 33% | 2.27% / 5% | ✓ HALAL |
| MSCI | 41.9% / 33% | 21.2% / 33% | 4.7% / 33% | 2.27% / 5% | ✗ NOT HALAL |
| S&P | 24.0% / 33% | 12.1% / 33% | 2.7% / 33% | 2.27% / 5% | ✓ HALAL |
| FTSE | 41.9% / 33% | 21.2% / 33% | 4.7% / 50% | 2.27% / 5% | ✗ NOT HALAL |
Financial Highlights
Profitability
| Gross Margin | 29.6% | |
| Operating Margin | 28.3% | |
| Net Margin | 12.9% | |
| Return on Equity (ROE) | 9.7% | |
| Return on Assets (ROA) | 5.2% |
Cash Flow & Balance Sheet
| Free Cash Flow | $438M |
| Total Debt | $4.7B |
| Debt-to-Equity | 59.2 |
| Current Ratio | 3.3 |
| Total Assets | $14.5B |
Price & Trading
| Last Close | $77.37 |
| 50-Day MA | $76.05 |
| 200-Day MA | $55.56 |
| Avg Volume | 1.4M |
| Beta | 1.0 |
|
52-Week Range
$29.36
| |
About CHEMICAL & MINING CO OF CHILE INC (SQM)
Sociedad Química y Minera de Chile S.A. produces and sells specialty plant nutrients, and iodine and its derivatives worldwide. The company offers sodium potassium nitrate, specialty blends, and other specialty fertilizers under Ultrasol, Qrop, Speedfol, Allganic, Ultrasoline, Prop, and Prohydric brands. It also provides iodine and its derivatives for use in medical, agricultural, industrial, and human and animal nutrition products comprising x-ray contrast media, biocides, antiseptics and disinfectants, pharmaceutical intermediates, polarizing films for LCD and LED screens, chemicals, organic compounds, and pigments, as well as added to edible salt to prevent iodine deficiency disorders. In addition, the company produces lithium carbonate and lithium hydroxide which are used in the production of cathode material for, secondary batteries; lithium chloride; and basic lithium chemicals and lithium derivatives used in lubricating greases for heat-resistant glass, chips for the ceramic and glazing industry, and air conditioning chemicals, as well as other pharmaceutical syntheses and metal alloys. Further, it produces potassium sulfate; and potassium chloride which are used to nourish various crops. Additionally, the company produces and markets industrial chemicals, such as sodium nitrate mainly used in the production of glass and explosives, metal processing and recycling, and production of insulating materials and adhesives; potassium nitrate used as a raw material to produce frits and special glass, as well as in the enamel, metal treatment, and pyrotechnic sectors; solar salts used as a thermal storage medium in solar power generation plants; and potassium chloride as an additive in oil drilling and food processing sectors. Furthermore, it is involved in the sale of third-party fertilizers; and the exploration of copper, gold, and silver deposits. The company was founded in 1926 and is headquartered in Santiago, Chile.
Purification Calculator
As a halal stock with 2.27% impermissible income, you need to purify your dividends.
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Frequently Asked Questions
Is CHEMICAL & MINING CO OF CHILE INC (SQM) halal to invest in?
Based on our screening using AAOIFI Standard 21 (the strictest methodology), CHEMICAL & MINING CO OF CHILE 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 CHEMICAL & MINING CO OF CHILE INC's debt ratio?
CHEMICAL & MINING CO OF CHILE INC's debt ratio is 24.0% 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 41.9%.
Does CHEMICAL & MINING CO OF CHILE INC require dividend purification?
Yes, CHEMICAL & MINING CO OF CHILE INC has an impermissible income ratio of 2.27%, which means 2.27% 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 CHEMICAL & MINING CO OF CHILE INC's key financial metrics?
CHEMICAL & MINING CO OF CHILE INC has a market capitalization of $23.6B, trailing P/E ratio of 40.1, and revenue of $4.6B. The company maintains a gross margin of 29.6% and a net margin of 12.9%. Return on equity stands at 9.7%.
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.