Is XP Inc. (XP) Halal?

NASDAQ Financial Services Cayman Islands $9.2B
✗ NOT HALAL
Confidence: 95/100
XP Inc. (XP) is Not Halal under AAOIFI Standard 21 due to its classification in the Capital Markets 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 December 2024

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI Excluded — Capital Markets ✗ NOT HALAL
DJIM Excluded — Capital Markets ✗ NOT HALAL
MSCI Excluded — Capital Markets ✗ NOT HALAL
S&P Excluded — Capital Markets ✗ NOT HALAL
FTSE Excluded — Capital Markets ✗ NOT HALAL

Financial Highlights

P/E Ratio
9.6
Forward: 7.6
EPS
$1.85
Dividend Yield
102.0%
Payout: 10.2%
P/B Ratio
2.0
Beta
1.3
High volatility
Current Ratio
1.3

Profitability

Gross Margin 69.3%
Operating Margin 31.5%
Net Margin 29.1%
Return on Equity (ROE) 23.7%
Return on Assets (ROA) 1.4%

Cash Flow & Balance Sheet

Operating Cash Flow$11.2B
Free Cash Flow$10.8B
Total Debt$115.1B
Debt-to-Equity631.2
Current Ratio1.3
Total Assets$347.5B

Price & Trading

Last Close$18.58
50-Day MA$19.78
200-Day MA$18.36
Avg Volume6.6M
Beta1.3
52-Week Range
$12.20
$23.13

About XP Inc. (XP)

CEO
Mr. Thiago Maffra
Sector
Financial Services
Industry
Capital Markets
Country
Cayman Islands
Exchange
NASDAQ
Market Cap
$9.2B
Currency
USD

XP Inc. provides financial products and services in Brazil. The company operates XP Platform, an open product platform that provides clients to access investment products in the market comprising brokerage securities, fixed income securities, mutual, hedge, and private equity funds; derivatives and synthetic instruments; credit cards; loan operations/collateralized credit products; pension and social security funds, and life and travel insurance products; and other investment products comprising real estate funds, and equity and debt capital markets solutions, as well as wealth management services. It offers brokerage and issuer services to institutional and corporate clients. The company also manages mutual funds focused on stocks and macro strategies distributed to retail and to institutional clients; funds and managed portfolios for high-net-worth retail clients, and proprietary treasury funds; and passive mutual funds that track market indexes, and mutual and investment funds focused on fixed income, credit, real estate, infrastructure, and other alternative strategies. In addition, it offers securities brokerage services for institutional and retail investors; interdealer brokerage services for institutional traders; and commercial and investment banking products, such as loan operations and transactions in the foreign exchange markets and deposits, as well as develops and sells financial education courses and events online and in person to retail clients. The company offers its sell products and services through its omni-channel distribution network and online portals. XP Inc. was founded in 2001 and is based in George Town, the Cayman Islands.

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Frequently Asked Questions

Is XP Inc. (XP) halal to invest in?

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

XP 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 XP Inc.'s key financial metrics?

XP Inc. has a market capitalization of $9.2B, trailing P/E ratio of 9.6. The company maintains a gross margin of 69.3% and a net margin of 29.1%. Return on equity stands at 23.7%.

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.