Is VersaBank (VBNK) Halal?

NASDAQ Financial Services Canada $442M
✗ NOT HALAL
Confidence: 95/100
VersaBank (VBNK) is Not Halal under AAOIFI Standard 21 due to its classification in the Banks - Regional industry, which is excluded under Shariah screening. Companies operating in prohibited sectors such as conventional banking, insurance, alcohol, tobacco, and gambling are automatically excluded regardless of their financial ratios.

Shariah Screening — 5 Standards

Based on financial data from October 2025

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI Excluded — Banks - Regional ✗ NOT HALAL
DJIM Excluded — Banks - Regional ✗ NOT HALAL
MSCI Excluded — Banks - Regional ✗ NOT HALAL
S&P Excluded — Banks - Regional ✗ NOT HALAL
FTSE Excluded — Banks - Regional ✗ NOT HALAL

Financial Highlights

P/E Ratio
19.7
Forward: 7.3
EPS
$0.70
Dividend Yield
53.0%
Payout: 10.3%
P/B Ratio
1.1
Revenue
$125M
Growth: 33.6%
Beta
1.0
Average volatility

Profitability

Gross Margin 0.0%
Operating Margin 42.6%
Net Margin 24.3%
Return on Equity (ROE) 5.9%
Return on Assets (ROA) 0.6%

Cash Flow & Balance Sheet

Operating Cash Flow$44M
Free Cash Flow$43M
Total Debt$109M
Total Assets$5.8B

Price & Trading

Last Close$13.93
50-Day MA$15.45
200-Day MA$13.00
Avg Volume44K
Beta1.0
52-Week Range
$8.51
$17.47

About VersaBank (VBNK)

CEO
Ms. Susan Teresa McGovern B.Sc.
Employees
131
Sector
Financial Services
Industry
Banks - Regional
Country
Canada
Exchange
NASDAQ
Market Cap
$442M
Currency
USD

VersaBank provides various banking products and services in Canada and the United States. The company operates through Digital Banking Canada; Digital Banking USA; and DRTC (cybersecurity services and banking and financial technology development) segments. It offers deposit products, such as guaranteed investment certificates, registered retirement savings plans, and tax-free savings accounts, as well as deposit insurance products. The company also provides lending services, including point of sale financing that covers purchasing loan and lease receivables from finance companies operating in various industries; commercial real estate mortgages and loans, public sector, leases, and other financing. In addition, it provides cybersecurity services. The company was formerly known as Pacific & Western Bank of Canada and changed its name to VersaBank in May 2016. VersaBank was incorporated in 1979 and is headquartered in London, Canada.

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Frequently Asked Questions

Is VersaBank (VBNK) halal to invest in?

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

VersaBank's debt ratio is not available under the AAOIFI standard (which uses market capitalization as the denominator). The AAOIFI threshold is 30%.

What are VersaBank's key financial metrics?

VersaBank has a market capitalization of $442M, trailing P/E ratio of 19.7, and revenue of $125M. Return on equity stands at 5.9%.

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.