Is Essential Utilities, Inc. (WTRG) Halal?

NYSE Utilities United States $11.4B
✗ NOT HALAL
Confidence: 90/100
Essential Utilities, Inc. (WTRG) is Not Halal under AAOIFI Standard 21. The company's debt ratio of 72.7% exceeds the 30% threshold, indicating excessive interest-bearing debt relative to market capitalization. Essential Utilities, Inc. operates in the Utilities sector.

Shariah Screening — 5 Standards

Based on financial data from December 2025

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI 72.7%
/ 30%
0.3%
/ 30%
3.4%
/ 30%
0.07%
/ 5%
✗ NOT HALAL
DJIM 72.7%
/ 33%
0.3%
/ 33%
3.4%
/ 33%
0.07%
/ 5%
✗ NOT HALAL
MSCI 42.7%
/ 33%
0.2%
/ 33%
2.0%
/ 33%
0.07%
/ 5%
✗ NOT HALAL
S&P 72.7%
/ 33%
0.3%
/ 33%
3.4%
/ 33%
0.07%
/ 5%
✗ NOT HALAL
FTSE 42.7%
/ 33%
0.2%
/ 33%
2.0%
/ 50%
0.07%
/ 5%
✗ NOT HALAL

Financial Highlights

P/E Ratio
18.3
Forward: 16.6
EPS
$2.20
Dividend Yield
340.0%
Payout: 60.7%
P/B Ratio
1.7
EV/EBITDA
14.8
EV: $19.7B
Revenue
$2.5B
Growth: 15.7%
Beta
0.8
Low volatility
Current Ratio
0.8

Profitability

Gross Margin 57.6%
Operating Margin 32.4%
Net Margin 24.9%
Return on Equity (ROE) 9.4%
Return on Assets (ROA) 3.0%

Cash Flow & Balance Sheet

Operating Cash Flow$1.0B
Free Cash Flow-$420M
Total Debt$8.3B
Debt-to-Equity121.6
Current Ratio0.8
Total Assets$19.5B

Price & Trading

Last Close$40.79
50-Day MA$39.44
200-Day MA$38.83
Avg Volume2.4M
Beta0.8
52-Week Range
$36.32
$42.37

About Essential Utilities, Inc. (WTRG)

CEO
Mr. Christopher H. Franklin
Employees
3,303
Sector
Utilities
Industry
Utilities - Regulated Water
Country
United States
Exchange
NYSE
Market Cap
$11.4B
Currency
USD

Essential Utilities, Inc., through its subsidiaries, operates regulated utilities that provide water, wastewater, and natural gas services in the United States. The company operates through Regulated Water; and Regulated Natural Gas segments. It also provides utility service line protection solutions and repair services to households; gas marketing and production activities; and natural gas distribution services. The company serves approximately 5.5 million residential water, commercial water, fire protection, industrial water, wastewater, and other water and utility customers in Pennsylvania, Ohio, Texas, Illinois, North Carolina, New Jersey, Indiana, Virginia, and Kentucky under the Aqua and Peoples brands. The company was formerly known as Aqua America, Inc. and changed its name to Essential Utilities, Inc. in February 2020. Essential Utilities, Inc. was founded in 1886 and is headquartered in Bryn Mawr, Pennsylvania.

Related Halal Stocks in Utilities

Frequently Asked Questions

Is Essential Utilities, Inc. (WTRG) halal to invest in?

Based on our screening using AAOIFI Standard 21 (the strictest methodology), Essential Utilities, 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 Essential Utilities, Inc.'s debt ratio?

Essential Utilities, Inc.'s debt ratio is 72.7% 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 42.7%.

What are Essential Utilities, Inc.'s key financial metrics?

Essential Utilities, Inc. has a market capitalization of $11.4B, trailing P/E ratio of 18.3, and revenue of $2.5B. The company maintains a gross margin of 57.6% and a net margin of 24.9%. Return on equity stands at 9.4%.

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.