Is Velocity Financial, Inc. (VEL) Halal?
Shariah Screening — 5 Standards
Based on financial data from December 2025
| Standard | Debt Ratio | Cash Ratio | Receivables | Income | Status |
|---|---|---|---|---|---|
| AAOIFI | Excluded — Mortgage Finance | ✗ NOT HALAL | |||
| DJIM | Excluded — Mortgage Finance | ✗ NOT HALAL | |||
| MSCI | Excluded — Mortgage Finance | ✗ NOT HALAL | |||
| S&P | Excluded — Mortgage Finance | ✗ NOT HALAL | |||
| FTSE | Excluded — Mortgage Finance | ✗ NOT HALAL | |||
Financial Highlights
Profitability
| Gross Margin | 70.7% | |
| Operating Margin | 61.7% | |
| Net Margin | 46.6% | |
| Return on Equity (ROE) | 17.6% | |
| Return on Assets (ROA) | 1.6% |
Cash Flow & Balance Sheet
| Operating Cash Flow | $18M |
| Free Cash Flow | $17M |
| Total Debt | $6.5B |
| Debt-to-Equity | 968.0 |
| Current Ratio | 15.2 |
| Total Assets | $7.4B |
Price & Trading
| Last Close | $17.60 |
| 50-Day MA | $18.94 |
| 200-Day MA | $18.65 |
| Avg Volume | 129K |
| Beta | 0.8 |
|
52-Week Range
$16.12
| |
About Velocity Financial, Inc. (VEL)
Velocity Financial, Inc. operates as a real estate finance company in the United States. The company originates, securitizes, and manages a portfolio of loans, which are secured by real estate, including investor loans unit residential rental properties; residential rental properties office; and loans for multi-family, mixed use, and commercial properties. The company also provides warehouse and other properties. It offers its products through a network of independent mortgage brokers and direct borrower relationships. The company was founded in 2004 and is headquartered in Westlake Village, California
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Frequently Asked Questions
Is Velocity Financial, Inc. (VEL) halal to invest in?
Based on our screening using AAOIFI Standard 21 (the strictest methodology), Velocity Financial, Inc. 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 Velocity Financial, Inc.'s debt ratio?
Velocity Financial, Inc.'s debt ratio is not available under the AAOIFI standard (which uses market capitalization as the denominator). The AAOIFI threshold is 30%.
What are Velocity Financial, Inc.'s key financial metrics?
Velocity Financial, Inc. has a market capitalization of $699M, trailing P/E ratio of 6.5, and revenue of $312M. The company maintains a gross margin of 70.7% and a net margin of 46.6%. Return on equity stands at 17.6%.
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.