Is TORM plc (TRMD) Halal?

NASDAQ Energy United Kingdom $2.8B
✗ NOT HALAL
Confidence: 90/100
TORM plc (TRMD) is Not Halal under AAOIFI Standard 21. The company's debt ratio of 42.7% exceeds the 30% threshold, indicating excessive interest-bearing debt relative to market capitalization. TORM plc operates in the Energy sector.

Shariah Screening — 5 Standards

Based on financial data from December 2025

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI 42.7%
/ 30%
9.5%
/ 30%
7.3%
/ 30%
1.57%
/ 5%
✗ NOT HALAL
DJIM 42.7%
/ 33%
9.5%
/ 33%
7.3%
/ 33%
1.57%
/ 5%
✗ NOT HALAL
MSCI 35.3%
/ 33%
7.8%
/ 33%
6.0%
/ 33%
1.57%
/ 5%
✗ NOT HALAL
S&P 42.7%
/ 33%
9.5%
/ 33%
7.3%
/ 33%
1.57%
/ 5%
✗ NOT HALAL
FTSE 35.3%
/ 33%
7.8%
/ 33%
6.0%
/ 50%
1.57%
/ 5%
✗ NOT HALAL

Financial Highlights

P/E Ratio
9.6
Forward: 14.3
EPS
$2.85
Dividend Yield
772.0%
Payout: 70.9%
P/B Ratio
1.3
EV/EBITDA
6.6
EV: $3.6B
Revenue
$1.3B
Growth: 15.5%
Beta
-0.1
Low volatility
Current Ratio
1.3

Profitability

Gross Margin 49.7%
Operating Margin 27.7%
Net Margin 21.3%
Return on Equity (ROE) 13.4%
Return on Assets (ROA) 6.2%

Cash Flow & Balance Sheet

Operating Cash Flow$499M
Free Cash Flow$189M
Total Debt$1.0B
Debt-to-Equity45.5
Current Ratio1.3
Total Assets$3.4B

Price & Trading

Last Close$27.19
50-Day MA$26.01
200-Day MA$21.85
Avg Volume754K
Beta-0.1
52-Week Range
$13.60
$31.76

About TORM plc (TRMD)

CEO
Mr. Jacob Balslev Meldgaard
Sector
Energy
Industry
Oil & Gas Midstream
Country
United Kingdom
Exchange
NASDAQ
Market Cap
$2.8B
Currency
USD

TORM plc, a shipping company, owns and operates a fleet of product tankers in the United Kingdom and internationally. It operates in two segments, Tanker and Marine Engineering. The Tanker segment transports refined oil products, such as gasoline, jet fuel, diesel, naphtha, and gas oil, as well as dirty petroleum products, such as residual fuels and crude oil. The Marine Engineering segment engages in developing and producing advanced and green marine equipment. TORM plc was founded in 1889 and is based in London, the United Kingdom.

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Frequently Asked Questions

Is TORM plc (TRMD) halal to invest in?

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

TORM plc's debt ratio is 42.7% 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 35.3%.

What are TORM plc's key financial metrics?

TORM plc has a market capitalization of $2.8B, trailing P/E ratio of 9.6, and revenue of $1.3B. The company maintains a gross margin of 49.7% and a net margin of 21.3%. Return on equity stands at 13.4%.

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.