Is UNIVERSAL TECHNICAL INSTITUTE INC (UTI) Halal?
Shariah Screening — 5 Standards
Based on financial data from September 2025
| Standard | Debt Ratio | Cash Ratio | Receivables | Income | Status |
|---|---|---|---|---|---|
| AAOIFI | 14.5% / 30% | 8.8% / 30% | 2.7% / 30% | 0.74% / 5% | ✓ HALAL |
| DJIM | 14.5% / 33% | 8.8% / 33% | 2.7% / 33% | 0.74% / 5% | ✓ HALAL |
| MSCI | 33.8% / 33% | 20.5% / 33% | 6.4% / 33% | 0.74% / 5% | ✗ NOT HALAL |
| S&P | 14.5% / 33% | 8.8% / 33% | 2.7% / 33% | 0.74% / 5% | ✓ HALAL |
| FTSE | 33.8% / 33% | 20.5% / 33% | 6.4% / 50% | 0.74% / 5% | ✗ NOT HALAL |
Financial Highlights
Profitability
| Gross Margin | 56.3% | |
| Operating Margin | 7.1% | |
| Net Margin | 6.3% | |
| Return on Equity (ROE) | 17.4% | |
| Return on Assets (ROA) | 5.6% |
Cash Flow & Balance Sheet
| Operating Cash Flow | $97M |
| Free Cash Flow | $55M |
| Total Debt | $279M |
| Debt-to-Equity | 86.2 |
| Current Ratio | 1.1 |
| Total Assets | $826M |
Price & Trading
| Last Close | $37.96 |
| 50-Day MA | $32.17 |
| 200-Day MA | $29.91 |
| Avg Volume | 739K |
| Beta | 1.4 |
|
52-Week Range
$21.29
| |
About UNIVERSAL TECHNICAL INSTITUTE INC (UTI)
Universal Technical Institute, Inc. provides transportation, skilled trades, and healthcare education programs in the United States. It operates in two segments, UTI and Concorde. The company offers certificate, diploma, or degree programs. It also provides manufacturer specific advanced training programs, including student paid electives at its campuses; and manufacturer or dealer sponsored training at various campuses and dedicated training centers. The company serves students, partners, and communities by providing education and support services in various fields. Universal Technical Institute, Inc. was founded in 1965 and is based in Phoenix, Arizona.
Purification Calculator
As a halal stock with 0.74% impermissible income, you need to purify your dividends.
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Frequently Asked Questions
Is UNIVERSAL TECHNICAL INSTITUTE INC (UTI) halal to invest in?
Based on our screening using AAOIFI Standard 21 (the strictest methodology), UNIVERSAL TECHNICAL INSTITUTE INC 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 UNIVERSAL TECHNICAL INSTITUTE INC's debt ratio?
UNIVERSAL TECHNICAL INSTITUTE INC's debt ratio is 14.5% 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 33.8%.
Does UNIVERSAL TECHNICAL INSTITUTE INC require dividend purification?
Yes, UNIVERSAL TECHNICAL INSTITUTE INC has an impermissible income ratio of 0.74%, which means 0.74% 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 UNIVERSAL TECHNICAL INSTITUTE INC's key financial metrics?
UNIVERSAL TECHNICAL INSTITUTE INC has a market capitalization of $2.0B, trailing P/E ratio of 38.7, and revenue of $836M. The company maintains a gross margin of 56.3% and a net margin of 6.3%. 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.