Is Tata Consumer (TATACONSUM) Halal?

NSE Consumer Defensive India $1.0T
✓ HALAL
Confidence: 95/100
Tata Consumer (TATACONSUM) is Halal under all 5 major Shariah screening standards. With a debt ratio of just 2.2% against the AAOIFI threshold of 30%, Tata Consumer comfortably passes the key financial ratio tests. The company operates in the Consumer Defensive sector (Packaged Foods), 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 2.2%
/ 30%
2.8%
/ 30%
0.8%
/ 30%
0.79%
/ 5%
✓ HALAL
DJIM 2.2%
/ 33%
2.8%
/ 33%
0.8%
/ 33%
0.79%
/ 5%
✓ HALAL
MSCI 7.5%
/ 33%
9.7%
/ 33%
2.7%
/ 33%
0.79%
/ 5%
✓ HALAL
S&P 2.2%
/ 33%
2.8%
/ 33%
0.8%
/ 33%
0.79%
/ 5%
✓ HALAL
FTSE 7.5%
/ 33%
9.7%
/ 33%
2.7%
/ 50%
0.79%
/ 5%
✓ HALAL

Financial Highlights

P/E Ratio
70.9
Forward: 50.9
EPS
$14.78
Dividend Yield
79.0%
Payout: 55.6%
P/B Ratio
5.1
EV/EBITDA
39.9
EV: $1.1T
Revenue
$175.1B
Growth: 15.0%
Beta
0.3
Low volatility

Profitability

Gross Margin 40.8%
Operating Margin 11.0%
Net Margin 7.5%

Cash Flow & Balance Sheet

Operating Cash Flow$20.6B
Free Cash Flow$16.0B
Total Debt$23.9B
Debt-to-Equity11.9
Total Assets$319.8B

Price & Trading

Last CloseINR 1,056.10
50-Day MAINR 1,125.87
200-Day MAINR 1,128.26
Avg Volume1.2M
Beta0.3
52-Week Range
INR 989.25
INR 1,220.90

About Tata Consumer (TATACONSUM)

CEO
Mr. Sunil Alaric D'Souza
Employees
10,595
Sector
Consumer Defensive
Industry
Packaged Foods
Country
India
Exchange
NSE
Market Cap
$1.0T
Currency
INR

Tata Consumer Products Limited, together with its subsidiaries, produces, distributes, and trades in food products in India, the United States, the United Kingdom, and internationally. It operates through Branded Business and Non Branded Business segments. The company provides tea, coffee products, salt, mineral water, food ingredients, sweeteners, ready to cook and ready to eat options, breakfast cereals, snacks, mini meals, pulses, spices, instant noodles, blended masalas, Chinese sauces, pizza and pasta sauces, pasta sauce masala, ginger garlic paste, and dry fruits. It also offers health supplement; glucose drinks; juices; ready-to-drink beverages; food products; honey and preserves; muesli; and momo chutney, easy cook kabuli chana, roll cook ragi atta, corn flakes, oats, rusk, and juices. The company provides its products primarily under the Tata Tea, Tetley, 1868 by Tata Tea, Tata Coffee Grand, Tata Coffee Gold, Tata Coffee Quick Filter, Sonnets by Tata Coffee, Tata Salt, Tata Sampann, Smith & Jones, Tata Soulfull, Himalayan honey and preserves, Ching's Secret, Tata Simply Better, Himalayan water, Tata Copper+, Tata Gluco+, Tata Fruski, Good Earth, Teapigs, Eight O'Clock, Tata Raasa, Vitax, Laager, Joyfull, Tea4Kidz, Society Coffee, Tata Tea Vita Care, Tata Tea Chakra Gold, Tata Salt Rock Salt, Spice Mix, Tata Tea Gold, Tata Tea Premium, Kanan Devan, Chakra Gold, Agni, 1868 collection, and Say Never brands. The company was formerly known as Tata Global Beverages Limited and changed its name to Tata Consumer Products Limited in February 2020. Tata Consumer Products Limited was incorporated in 1962 and is based in Mumbai, India.

Purification Calculator

As a halal stock with 0.79% impermissible income, you need to purify your dividends.

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Related Halal Stocks in Consumer Defensive

Frequently Asked Questions

Is Tata Consumer (TATACONSUM) halal to invest in?

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

Tata Consumer's debt ratio is 2.2% 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 7.5%.

Does Tata Consumer require dividend purification?

Yes, Tata Consumer has an impermissible income ratio of 0.79%, which means 0.79% 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 Tata Consumer's key financial metrics?

Tata Consumer has a market capitalization of $1.0T, trailing P/E ratio of 70.9, and revenue of $175.1B. The company maintains a gross margin of 40.8% and a net margin of 7.5%.

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.