Is Severn Trent (SVT) Halal?
Shariah Screening — 5 Standards
Based on financial data from March 2025
| Standard | Debt Ratio | Cash Ratio | Receivables | Income | Status |
|---|---|---|---|---|---|
| AAOIFI | 103.0% / 30% | 10.5% / 30% | 3.9% / 30% | 5.7% / 5% | ✗ NOT HALAL |
| DJIM | 103.0% / 33% | 10.5% / 33% | 3.9% / 33% | 5.7% / 5% | ✗ NOT HALAL |
| MSCI | 61.0% / 33% | 6.2% / 33% | 2.3% / 33% | 5.7% / 5% | ✗ NOT HALAL |
| S&P | 103.0% / 33% | 10.5% / 33% | 3.9% / 33% | 5.7% / 5% | ✗ NOT HALAL |
| FTSE | 61.0% / 33% | 6.2% / 33% | 2.3% / 50% | 5.7% / 5% | ✗ NOT HALAL |
Financial Highlights
Profitability
| Gross Margin | 30.2% | |
| Operating Margin | 32.2% | |
| Net Margin | 11.9% | |
| Return on Equity (ROE) | 17.4% | |
| Return on Assets (ROA) | 2.9% |
Cash Flow & Balance Sheet
| Operating Cash Flow | $912M |
| Free Cash Flow | -$680M |
| Total Debt | $9.7B |
| Debt-to-Equity | 596.7 |
| Current Ratio | 1.4 |
| Total Assets | $15.9B |
Price & Trading
| Last Close | GBp 2,988.00 |
| 50-Day MA | GBp 3,054.21 |
| 200-Day MA | GBp 2,783.42 |
| Avg Volume | 643K |
| Beta | 0.6 |
|
52-Week Range
GBp 2,381.00
| |
About Severn Trent (SVT)
Severn Trent PLC provides water and wastewater services in the United Kingdom. It operates in two segments, Regulated Water and Wastewater, and Business Services. The company offers water and wastewater services to approximately 4.7 million households and businesses. It also generates renewable energy from anaerobic digestion, hydropower, wind turbines, and solar technologies; and provides property development services, as well as engages in the sale of surplus land. It offers services to municipal and industrial clients, including the Ministry of Defence and the Coal Authority for the design, building, and operation of water and wastewater treatment facilities and networks. Severn Trent PLC was founded in 1974 and is headquartered in Coventry, the United Kingdom.
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Frequently Asked Questions
Is Severn Trent (SVT) halal to invest in?
Based on our screening using AAOIFI Standard 21 (the strictest methodology), Severn Trent 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 Severn Trent's debt ratio?
Severn Trent's debt ratio is 103.0% 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 61.0%.
What are Severn Trent's key financial metrics?
Severn Trent has a market capitalization of $9.0B, trailing P/E ratio of 28.5, and revenue of $2.4B. The company maintains a gross margin of 30.2% and a net margin of 11.9%. Return on equity stands at 17.4%.
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.