Is Valaris Ltd (VAL) Halal?

NYSE Energy Bermuda $7.1B
✓ HALAL
Confidence: 95/100
Valaris Ltd (VAL) is Halal under all 5 major Shariah screening standards. With a debt ratio of just 19.1% against the AAOIFI threshold of 30%, Valaris Ltd comfortably passes the key financial ratio tests. The company operates in the Energy sector (Oil & Gas Equipment & 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 19.1%
/ 30%
9.9%
/ 30%
7.8%
/ 30%
2.99%
/ 5%
✓ HALAL
DJIM 19.1%
/ 33%
9.9%
/ 33%
7.8%
/ 33%
2.99%
/ 5%
✓ HALAL
MSCI 21.8%
/ 33%
11.3%
/ 33%
9.0%
/ 33%
2.99%
/ 5%
✓ HALAL
S&P 19.1%
/ 33%
9.9%
/ 33%
7.8%
/ 33%
2.99%
/ 5%
✓ HALAL
FTSE 21.8%
/ 33%
11.3%
/ 33%
9.0%
/ 50%
2.99%
/ 5%
✓ HALAL

Financial Highlights

P/E Ratio
7.4
Forward: 14.7
EPS
$13.86
P/B Ratio
2.2
EV/EBITDA
11.9
EV: $7.6B
Revenue
$2.4B
Growth: -8.0%
Beta
1.1
Average volatility
Current Ratio
1.8

Profitability

Gross Margin 31.2%
Operating Margin 10.5%
Net Margin 41.5%
Return on Equity (ROE) 36.2%
Return on Assets (ROA) 6.4%

Cash Flow & Balance Sheet

Operating Cash Flow$546M
Free Cash Flow$203M
Total Debt$1.2B
Debt-to-Equity36.5
Current Ratio1.8
Total Assets$5.3B

Price & Trading

Last Close$101.94
50-Day MA$81.59
200-Day MA$58.44
Avg Volume1.6M
Beta1.1
52-Week Range
$27.15
$104.23

About Valaris Ltd (VAL)

CEO
Mr. Anton Dibowitz CPA
Employees
3,800
Sector
Energy
Industry
Oil & Gas Equipment & Services
Country
Bermuda
Exchange
NYSE
Market Cap
$7.1B
Currency
USD

Valaris Limited, together with its subsidiaries, provides offshore contract drilling services in Brazil, the United Kingdom, Gulf of America, Australia, Angola, and internationally. It operates through four segments: Floaters, Jackups, ARO, and Other. The company owns an offshore drilling rig fleet, which includes drillships, dynamically positioned semisubmersible rigs, a moored semisubmersible rig, and jackup rigs. It also offers management services on rigs owned by third parties. The company serves international, government-owned, and independent oil and gas companies. Valaris Limited was founded in 1975 and is based in Hamilton, Bermuda.

Purification Calculator

As a halal stock with 2.99% impermissible income, you need to purify your dividends.

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Frequently Asked Questions

Is Valaris Ltd (VAL) halal to invest in?

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

Valaris Ltd's debt ratio is 19.1% 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 21.8%.

Does Valaris Ltd require dividend purification?

Yes, Valaris Ltd has an impermissible income ratio of 2.99%, which means 2.99% 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 Valaris Ltd's key financial metrics?

Valaris Ltd has a market capitalization of $7.1B, trailing P/E ratio of 7.4, and revenue of $2.4B. The company maintains a gross margin of 31.2% and a net margin of 41.5%. Return on equity stands at 36.2%.

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.