Is Zalando (ZAL) Halal?

XETRA Consumer Cyclical Germany $5.2B
✗ NOT HALAL
Confidence: 90/100
Zalando (ZAL) is Not Halal under AAOIFI Standard 21. The company's debt ratio of 32.7% exceeds the 30% threshold, indicating excessive interest-bearing debt relative to market capitalization. Zalando operates in the Consumer Cyclical sector.

Shariah Screening — 5 Standards

Based on financial data from December 2025

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI 32.7%
/ 30%
51.0%
/ 30%
11.3%
/ 30%
0.72%
/ 5%
✗ NOT HALAL
DJIM 32.7%
/ 33%
51.0%
/ 33%
11.3%
/ 33%
0.72%
/ 5%
✗ NOT HALAL
MSCI 21.6%
/ 33%
33.7%
/ 33%
7.4%
/ 33%
0.72%
/ 5%
✗ NOT HALAL
S&P 32.7%
/ 33%
51.0%
/ 33%
11.3%
/ 33%
0.72%
/ 5%
✗ NOT HALAL
FTSE 21.6%
/ 33%
33.7%
/ 33%
7.4%
/ 50%
0.72%
/ 5%
✗ NOT HALAL

Financial Highlights

P/E Ratio
24.5
Forward: 10.5
EPS
$0.82
P/B Ratio
1.9
EV/EBITDA
7.9
EV: $4.7B
Revenue
$12.3B
Growth: 23.4%
Beta
1.8
High volatility
Current Ratio
1.1

Profitability

Gross Margin 39.9%
Operating Margin 5.3%
Net Margin 1.7%
Return on Equity (ROE) 7.7%
Return on Assets (ROA) 3.1%

Cash Flow & Balance Sheet

Operating Cash Flow$1.1B
Free Cash Flow$904M
Total Debt$1.4B
Debt-to-Equity51.0
Current Ratio1.1
Total Assets$9.3B

Price & Trading

Last CloseEUR 20.64
50-Day MAEUR 21.89
200-Day MAEUR 24.40
Avg Volume1.8M
Beta1.8
52-Week Range
EUR 18.79
EUR 36.76

About Zalando (ZAL)

CEO
Mr. Robert Gentz
Employees
16,582
Sector
Consumer Cyclical
Industry
Internet Retail
Country
Germany
Exchange
XETRA
Market Cap
$5.2B
Currency
EUR

Zalando SE operates an online platform for fashion and lifestyle products in Germany and internationally. The company operates through Business-to-Business and Business-to-Consumer segments. It engages in the development, sourcing, marketing, retail, and commission sale of various type of goods, including shoes, apparel, accessories, and beauty products with free delivery and returns, as well as various payment options. The company sells its products through Lounge by Zalando and its outlets. Zalando SE was founded in 2008 and is headquartered in Berlin, Germany.

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Frequently Asked Questions

Is Zalando (ZAL) halal to invest in?

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

Zalando's debt ratio is 32.7% 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 21.6%.

What are Zalando's key financial metrics?

Zalando has a market capitalization of $5.2B, trailing P/E ratio of 24.5, and revenue of $12.3B. The company maintains a gross margin of 39.9% and a net margin of 1.7%. Return on equity stands at 7.7%.

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.