Is Compass Diversified (CODI) halal? Not Halal. Based on AAOIFI screening, Compass Diversified passes the business activity screen but fails financial ratio screens with a compliance score of 0/100 (Grade: F).

Compass Diversified

CODI: Is Compass Diversified Halal?

Not Halal

Compass Diversified

NYSEIndustrialsUS

$10.98

-0.09%

About Compass Diversified

Compass Diversified is a private equity firm specializing in add on acquisitions, buyouts, industry consolidation, recapitalization, late stage and middle market investments. It seeks to invest in niche industrial or branded consumer companies, manufacturing, distribution, consumer products, business services sector, safety & security, electronic components, food, foodservice. The firm prefers to invest in companies based in North America. It seeks to invest between $100 million and $800 million in companies with an EBITDA between $15 million to $80 million. It seeks to acquire controlling ownership interests in its portfolio companies and can make additional platform acquisitions. The firm prefer to have majority stake in companies. The firm invests through its balance sheet and typically holds investments between five to seven years. Compass Diversified was founded in 2005 and is based in Westport, Connecticut with an additional office in Costa Mesa, California.

Sector: Industrials 路 Industry: Conglomerates

Shariah Compliance Status

AAOIFI Standard 21Updated Jun 18, 2026
F

Non-Compliant

Fails Shariah screening

0Score

Business Activity Screen

Passed

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

Financial Ratio Screen

Failed

Financial ratios must be below AAOIFI thresholds

Debt / Market Cap251.5% / 30.0%

Compliance History

Not Halal, 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: EDGAR

Financial Overview

Market Cap

826.1M

Price

$10.98

Sector

Industrials

Industry

Conglomerates

Halal Alternatives in Industrials

This stock is not Shariah-compliant. Here are halal alternatives from the same sector, ranked by compliance score:

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Saia, Inc.
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Aduro Clean Technologies Inc.
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Aduro Clean Technologies Inc.

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Phoenix Asia Holdings Limited Ordinary Shares
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Phoenix Asia Holdings Limited Ordinary Shares

$15.76

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Frequently Asked Questions

Is Compass Diversified (CODI) halal to invest in?
Compass Diversified (CODI) is rated Not Halal under AAOIFI Standard 21 screening. It fails either the business activity screen (primary involvement in prohibited sectors such as conventional banking, alcohol, or gambling) or one of the quantitative financial ratio thresholds. Muslim investors should avoid or exit this position.
Why did Compass Diversified get a F compliance rating?
Compass Diversified (CODI) received a grade of F (Non-Compliant) based on three AAOIFI Standard 21 financial ratios: debt-to-market-cap of 251.5% (limit 30%); interest-bearing deposits of 9.1% (limit 30%); prohibited income of 0.11% (limit 5%). The grade reflects the margin of safety across all three ratios relative to their thresholds.
What could change Compass Diversified's Shariah verdict?
Compass Diversified'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 Compass Diversified re-screened for Shariah compliance?
Compass Diversified (CODI) 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.