Is Sun Pharma (SUNPHARMA) Halal?

NSE Healthcare India $4.3T
✓ HALAL
Confidence: 95/100
Sun Pharma (SUNPHARMA) is Halal under all 5 major Shariah screening standards. With a debt ratio of just 0.5% against the AAOIFI threshold of 30%, Sun Pharma comfortably passes the key financial ratio tests. The company operates in the Healthcare sector (Drug Manufacturers - Specialty & Generic), which is not a prohibited industry under Islamic finance principles.

Shariah Screening — 5 Standards

Based on financial data from March 2025

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI 0.5%
/ 30%
6.1%
/ 30%
3.0%
/ 30%
2.36%
/ 5%
✓ HALAL
DJIM 0.5%
/ 33%
6.1%
/ 33%
3.0%
/ 33%
2.36%
/ 5%
✓ HALAL
MSCI 2.6%
/ 33%
28.6%
/ 33%
14.2%
/ 33%
2.36%
/ 5%
✓ HALAL
S&P 0.5%
/ 33%
6.1%
/ 33%
3.0%
/ 33%
2.36%
/ 5%
✓ HALAL
FTSE 2.6%
/ 33%
28.6%
/ 33%
14.2%
/ 50%
2.36%
/ 5%
✓ HALAL

Financial Highlights

P/E Ratio
39.4
Forward: 31.6
EPS
$45.56
Dividend Yield
92.0%
Payout: 35.2%
P/B Ratio
5.5
EV/EBITDA
25.5
EV: $4.1T
Revenue
$520.4B
Growth: 13.5%
Beta
0.1
Low volatility

Profitability

Gross Margin 78.5%
Operating Margin 26.2%
Net Margin 19.2%

Cash Flow & Balance Sheet

Operating Cash Flow$140.7B
Free Cash Flow$119.4B
Total Debt$23.6B
Debt-to-Equity6.7
Total Assets$921.0B

Price & Trading

Last CloseINR 1,795.40
50-Day MAINR 1,723.07
200-Day MAINR 1,696.54
Avg Volume2.6M
Beta0.1
52-Week Range
INR 1,548.00
INR 1,851.20

About Sun Pharma (SUNPHARMA)

CEO
Mr. Dilip Shantilal Shanghvi
Employees
43,000
Sector
Healthcare
Industry
Drug Manufacturers - Specialty & Generic
Country
India
Exchange
NSE
Market Cap
$4.3T
Currency
INR

Sun Pharmaceutical Industries Limited, a generic pharmaceutical company, develops, manufactures, and markets branded and generic formulations, and active pharmaceutical ingredients (APIs) in India, the United States, and internationally. The company offers formulations in various therapeutic areas, including neuropsychiatry, cardiology, diabetes, gastroenterology, pain/analgesics, gynecology, ophthalmology, urology, dermatology, respiratory, anti-infectives, oncology, psychiatry, neurology, orthopaedic, nephrology, urology, dermatology, respiratory, dental, and nutritionals. It also provides generic medications, such as tablets, capsules, injectables, inhalers, ointments, creams, and liquids; speciality medications; antiretrovirals medications; and over-the-counter products, such as vitamins, analgesics, digestives, and lifestyle. In addition, the company offers APIs for anti-cancers, peptides, steroids, sex hormones, immunosuppressant drugs, and controlled substances. It exports its products to approximately 90 countries across Asia, North America, Europe, Africa, South America, and Australia. Sun Pharmaceutical Industries Limited was founded in 1983 and is headquartered in Mumbai, India.

Purification Calculator

As a halal stock with 2.36% impermissible income, you need to purify your dividends.

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Frequently Asked Questions

Is Sun Pharma (SUNPHARMA) halal to invest in?

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

Sun Pharma's debt ratio is 0.5% 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 2.6%.

Does Sun Pharma require dividend purification?

Yes, Sun Pharma has an impermissible income ratio of 2.36%, which means 2.36% 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 Sun Pharma's key financial metrics?

Sun Pharma has a market capitalization of $4.3T, trailing P/E ratio of 39.4, and revenue of $520.4B. The company maintains a gross margin of 78.5% and a net margin of 19.2%.

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.