Is The Gap, Inc. (GAP) halal? Doubtful. Based on AAOIFI screening, The Gap, Inc. passes the business activity screen but has financial ratios approaching AAOIFI limits with a compliance score of 55/100 (Grade: C+).

The Gap, Inc.

GAP: Is The Gap, Inc. Halal?

Doubtful

The Gap, Inc.

NYSEConsumer CyclicalUS

$21.32

+1.69%

Purify ~0.8% of income

About The Gap, Inc.

The Gap, Inc. operates as an apparel retail company. The company offers apparel, accessories, and personal care products for men, women, and children under the Old Navy, Gap, Banana Republic, and Athleta brands. Its products include denim, tees, fleece, and khakis; eyewear, jewelry, shoes, handbags, and fragrances; and fitness and lifestyle products for use in yoga, training, sports, travel, and everyday activities for women and girls. The company offers its products through company-operated stores, franchise stores, Websites, third-party arrangements, and catalogs. It has franchise agreements with unaffiliated franchisees to operate Old Navy, Gap, Athleta, and Banana Republic stores and websites in Asia, Europe, Latin America, the Middle East, and Africa. As of December 31, 2021, the company had 2,835 company-operated stores and 564 franchise stores. It also provides its products through e-commerce sites. The Gap, Inc. was incorporated in 1969 and is headquartered in San Francisco, California.

Sector: Consumer Cyclical 路 Industry: Apparel - Retail

Why This Stock Is Doubtful

  • Interest-bearing deposits are 29.5% of market cap, only 0.5 points below the 30% 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 17, 2026
C+

Fair

Some financial ratios approaching limits

55Score

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 Cap19.8% / 30.0%

Compliance History

Doubtful, unchanged since Jun 2026.

No status changes recorded since we began tracking.

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

Screened: Jun 17, 2026Fiscal: Q1 2026Source: EDGAR

Purify Your GAP Dividends

0.8% non-compliant income

GAP has 0.8% prohibited income. Calculate exactly how much of your dividends to donate.

Financial Overview

Market Cap

7.8B

Price

$21.32

Sector

Consumer Cyclical

Industry

Apparel - Retail

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Frequently Asked Questions

Is The Gap, Inc. (GAP) halal to invest in?
The Gap, Inc. (GAP) 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 The Gap, Inc. get a C+ compliance rating?
The Gap, Inc. (GAP) received a grade of C+ (Fair) based on three AAOIFI Standard 21 financial ratios: debt-to-market-cap of 19.8% (limit 30%); interest-bearing deposits of 29.5% (limit 30%); prohibited income of 0.75% (limit 5%). The grade reflects the margin of safety across all three ratios relative to their thresholds.
What could change The Gap, Inc.'s Shariah verdict?
The Gap, 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 The Gap, Inc. re-screened for Shariah compliance?
The Gap, Inc. (GAP) 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 17, 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.