Is TORO CO (TTC) Halal?

NYSE Industrials United States $9.0B
✓ HALAL
Confidence: 95/100
TORO CO (TTC) is Halal under all 5 major Shariah screening standards. With a debt ratio of just 10.7% against the AAOIFI threshold of 30%, TORO CO comfortably passes the key financial ratio tests. The company operates in the Industrials sector (Tools & Accessories), which is not a prohibited industry under Islamic finance principles.

Shariah Screening — 5 Standards

Based on financial data from October 2025

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI 10.7%
/ 30%
3.5%
/ 30%
3.9%
/ 30%
1.2%
/ 5%
✓ HALAL
DJIM 10.7%
/ 33%
3.5%
/ 33%
3.9%
/ 33%
1.2%
/ 5%
✓ HALAL
MSCI 30.3%
/ 33%
9.9%
/ 33%
11.0%
/ 33%
1.2%
/ 5%
✓ HALAL
S&P 10.7%
/ 33%
3.5%
/ 33%
3.9%
/ 33%
1.2%
/ 5%
✓ HALAL
FTSE 30.3%
/ 33%
9.9%
/ 33%
11.0%
/ 50%
1.2%
/ 5%
✓ HALAL

Financial Highlights

P/E Ratio
27.6
Forward: 18.2
EPS
$3.34
Dividend Yield
169.0%
Payout: 45.8%
P/B Ratio
6.3
EV/EBITDA
15.5
EV: $10.0B
Revenue
$4.5B
Growth: 4.2%
Beta
0.8
Average volatility
Current Ratio
1.7

Profitability

Gross Margin 33.2%
Operating Margin 9.8%
Net Margin 7.3%
Return on Equity (ROE) 22.9%
Return on Assets (ROA) 8.4%

Cash Flow & Balance Sheet

Operating Cash Flow$662M
Free Cash Flow$578M
Total Debt$1.0B
Debt-to-Equity84.2
Current Ratio1.7
Total Assets$3.4B

Price & Trading

Last Close$93.81
50-Day MA$95.80
200-Day MA$80.54
Avg Volume971K
Beta0.8
52-Week Range
$62.34
$105.19

About TORO CO (TTC)

CEO
Mr. Richard M. Olson
Employees
9,227
Sector
Industrials
Industry
Tools & Accessories
Country
United States
Exchange
NYSE
Market Cap
$9.0B
Currency
USD

The Toro Company provides professional turf maintenance equipment and services. It operates through Professional and Residential segments. It offers riding and walking mowers, greens rollers, all-wheel drive articulating tractors, turf sprayer, utility vehicles, aeration, bunker maintenance, and other turf equipment; sprinkler heads, controllers, turf sensors, valves, and operating software; and riding rotary and reel mowers and attachments, infield grooming equipment, multipurpose vehicles, debris management products, all-wheel drive articulating tractors, sidewalk snow and ice solution vehicles, and related attachments and accessories. The company also provides zero-turn radius riding mowers, walk behind and stand-on mowers, turf application and renovation, tree care, horizontal directional drills, and drilling guidance and support equipment; walk and ride trenchers, vacuum excavators, utility locators and inspection systems, pipe rehabilitation, and replacement solutions; drive chucks and sub savers, drill pipe, starter rods and quick connects, bits and blades, rock tools, reamers, and swivels; and snow removal and ice management solutions. In addition, it offers rotors, sprinkler bodies and nozzles, valves, drip tubing and subsurface irrigation, and electric control devices; wired and wireless rain, freeze, climate, and soil sensors; drip tape, polyethylene tubing, drip line, emitters, filters, fitting, and software related solutions; stand-on skid steers, walk-behind trenchers, stump grinders, material handlers, and other concrete construction equipment; walk power and zero-turn riding mowers, and snow throwers; and grass and hedge trimmers, blower-vacuums, chainsaws, edgers, cultivators, string mowers, and related parts and accessories. The company sells its products through distributors, dealers, mass retailers, hardware retailers, equipment rental and home centers, and online. The company was founded in 1914 and is headquartered in Bloomington, Minnesota.

Purification Calculator

As a halal stock with 1.20% impermissible income, you need to purify your dividends.

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Frequently Asked Questions

Is TORO CO (TTC) halal to invest in?

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

TORO CO's debt ratio is 10.7% 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 30.3%.

Does TORO CO require dividend purification?

Yes, TORO CO has an impermissible income ratio of 1.20%, which means 1.20% 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 TORO CO's key financial metrics?

TORO CO has a market capitalization of $9.0B, trailing P/E ratio of 27.6, and revenue of $4.5B. The company maintains a gross margin of 33.2% and a net margin of 7.3%. Return on equity stands at 22.9%.

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.