Is Arrow Electronics, Inc. (ARW) halal? Doubtful. Based on AAOIFI screening, Arrow Electronics, Inc. passes the business activity screen but has financial ratios approaching AAOIFI limits with a compliance score of 75/100 (Grade: B+).

Arrow Electronics, Inc.

ARW: Is Arrow Electronics, Inc. Halal?

Doubtful

Arrow Electronics, Inc.

NYSETechnologyUS

$225.99

-1.21%

Purify ~0.1% of income

About Arrow Electronics, Inc.

Arrow Electronics, Inc. provides a wide array of products, services, and strategic solutions to industrial and commercial clients across the Americas, Europe, the Middle East, Africa, and Asia Pacific who depend on electronic components and sophisticated enterprise computing solutions. The company is organized into two main segments: Global Components and Global Enterprise Computing Solutions. The Global Components division primarily handles the marketing and distribution of various items, including semiconductor products and their related services. It also deals with passive, electromechanical, and interconnect components like capacitors, resistors, potentiometers, power supplies, relays, switches, and connectors, in addition to computing and memory products, among other offerings. The Global Enterprise Computing Solutions segment, on the other hand, provides specialized computing offerings such as datacenter, cloud, security, and analytics solutions. Furthermore, this segment grants access to a comprehensive suite of services, including engineering and integration support, warehousing and logistics, marketing resources, and authorized hardware and software training. The company's clientele includes original equipment manufacturers (OEMs), value-added resellers (VARs), managed service providers (MSPs), contract manufacturers, and other commercial entities. Established in 1935, Arrow Electronics, Inc. maintains its corporate headquarters in Centennial, Colorado.

Sector: Technology 路 Industry: Technology Distributors

Why This Stock Is Doubtful

  • Debt is 26.7% of market cap, only 3.3 points below the 30% AAOIFI limit

Stocks are marked Doubtful when financial ratios pass but approach AAOIFI thresholds. Consider consulting a qualified scholar for a definitive ruling.

Shariah Compliance Status

AAOIFI Standard 21Updated Jun 18, 2026
B+

Good

Good compliance with minor concerns

75Score

Business Activity Screen

Passed

Checks if the business is involved in prohibited activities (alcohol, gambling, pork, conventional banking, etc.)

Financial Ratio Screen

Passed

Financial ratios must be below AAOIFI thresholds

Debt / Market Cap26.7% / 30.0%

Compliance History

Doubtful, unchanged since May 2026.

No status changes recorded since we began tracking.

Tracked since May 2026. Updates automatically on each re-screen.

Screened: Jun 18, 2026Fiscal: Q1 2026Source: FMP

Purify Your ARW Dividends

0.1% non-compliant income

ARW has 0.1% prohibited income. Calculate exactly how much of your dividends to donate.

Financial Overview

Market Cap

11.6B

Price

$225.99

Sector

Technology

Industry

Technology Distributors

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Frequently Asked Questions

Is Arrow Electronics, Inc. (ARW) halal to invest in?
Arrow Electronics, Inc. (ARW) is rated Doubtful under AAOIFI Standard 21. It passes the business activity screen but one or more financial ratios are approaching (though not yet exceeding) the AAOIFI thresholds (30% for debt and interest deposits, 5% for prohibited income). Consult a qualified Islamic finance scholar for a personal ruling.
Why did Arrow Electronics, Inc. get a B+ compliance rating?
Arrow Electronics, Inc. (ARW) received a grade of B+ (Good) based on three AAOIFI Standard 21 financial ratios: debt-to-market-cap of 26.7% (limit 30%); interest-bearing deposits of 2.7% (limit 30%); prohibited income of 0.15% (limit 5%). The grade reflects the margin of safety across all three ratios relative to their thresholds.
What could change Arrow Electronics, Inc.'s Shariah verdict?
Arrow Electronics, Inc.'s verdict is re-evaluated at each annual re-screen. Three events could change it: (1) the debt-to-market-cap ratio crossing 30%, typically from new debt issuance or a major drop in share price; (2) interest-bearing deposits exceeding 30% of market cap; or (3) prohibited revenue (alcohol, gambling, conventional finance, etc.) exceeding 5% of total revenue. Verdict flips are tracked in the compliance history section above.
How often is Arrow Electronics, Inc. re-screened for Shariah compliance?
Arrow Electronics, Inc. (ARW) is re-screened annually using the most recent full-year financial data from SEC filings. HalalScreener also triggers an on-demand re-screen whenever the stored data is more than 7 days old, ensuring the ratios reflect the latest available financial statements. Last screened: Jun 18, 2026.

Screened according to AAOIFI Standard No. 21 路 For informational purposes only. Consult a qualified Islamic finance advisor before investing.

Disclaimer: This screening is for informational purposes only and does not constitute financial, legal, or religious advice. Compliance is evaluated using AAOIFI financial standards (debt, deposits, and prohibited income ratios) and publicly available data. Ethical, political, social, or environmental considerations are outside the scope of this screening. Individual scholars and methodologies may differ. Always consult a qualified Islamic finance advisor before making investment decisions.