Is Target Hospitality Corp. (TH) Halal?

NASDAQ Industrials United States $962M
✓ HALAL
Confidence: 95/100
Target Hospitality Corp. (TH) is Halal under all 5 major Shariah screening standards. With a debt ratio of just 26.8% against the AAOIFI threshold of 30%, Target Hospitality Corp. comfortably passes the key financial ratio tests. The company operates in the Industrials sector (Specialty Business Services), 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 26.8%
/ 30%
24.4%
/ 30%
6.3%
/ 30%
1.73%
/ 5%
✓ HALAL
DJIM 26.8%
/ 33%
24.4%
/ 33%
6.3%
/ 33%
1.73%
/ 5%
✓ HALAL
MSCI 28.9%
/ 33%
26.3%
/ 33%
6.8%
/ 33%
1.73%
/ 5%
✓ HALAL
S&P 26.8%
/ 33%
24.4%
/ 33%
6.3%
/ 33%
1.73%
/ 5%
✓ HALAL
FTSE 28.9%
/ 33%
26.3%
/ 33%
6.8%
/ 50%
1.73%
/ 5%
✓ HALAL

Financial Highlights

EPS
$-0.37
P/B Ratio
2.5
EV/EBITDA
22.6
EV: $963M
Revenue
$321M
Growth: 7.3%
Beta
1.2
High volatility
Current Ratio
0.9

Profitability

Gross Margin 31.1%
Operating Margin -14.5%
Net Margin -11.6%
Return on Equity (ROE) -9.2%
Return on Assets (ROA) -3.1%

Cash Flow & Balance Sheet

Operating Cash Flow$74M
Free Cash Flow$6M
Total Debt$11M
Debt-to-Equity2.7
Current Ratio0.9
Total Assets$530M

Price & Trading

Last Close$9.69
50-Day MA$7.85
200-Day MA$7.85
Avg Volume393K
Beta1.2
52-Week Range
$5.97
$9.90

About Target Hospitality Corp. (TH)

CEO
Mr. James Bradley Archer
Employees
902
Sector
Industrials
Industry
Specialty Business Services
Country
United States
Exchange
NASDAQ
Market Cap
$962M
Currency
USD

Target Hospitality Corp. operates as a specialty rental and hospitality services company in North America. It operates through Hospitality & Facilities Services – South, Workforce Hospitality Solutions, and Government segments. The company owns a network of specialty rental accommodation units. It also provides catering and food, maintenance, housekeeping, grounds-keeping, security, health and recreation facilities, workforce community management, concierge, and laundry services. In addition, the company offers construction services. It serves the U.S. government contractors and investment grade natural resource development companies. Target Hospitality Corp. was founded in 1978 and is headquartered in The Woodlands, Texas.

Purification Calculator

As a halal stock with 1.73% impermissible income, you need to purify your dividends.

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Frequently Asked Questions

Is Target Hospitality Corp. (TH) halal to invest in?

Based on our screening using AAOIFI Standard 21 (the strictest methodology), Target Hospitality Corp. 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 Target Hospitality Corp.'s debt ratio?

Target Hospitality Corp.'s debt ratio is 26.8% 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 28.9%.

Does Target Hospitality Corp. require dividend purification?

Yes, Target Hospitality Corp. has an impermissible income ratio of 1.73%, which means 1.73% 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 Target Hospitality Corp.'s key financial metrics?

Target Hospitality Corp. has a market capitalization of $962M, and revenue of $321M. The company maintains a gross margin of 31.1% and a net margin of -11.6%. Return on equity stands at -9.2%.

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.