Is IPG Photonics Corporation (IPGP) halal? Halal. Based on AAOIFI screening, IPG Photonics Corporation passes both qualitative (business activity) and quantitative (financial ratio) screens with a compliance score of 85/100 (Grade: A).

IPG Photonics Corporation

IPGP: Is IPG Photonics Corporation Halal?

Halal

IPG Photonics Corporation

NASDAQTechnologyUS

$115.28

-3.94%

About IPG Photonics Corporation

Established in 1990 and headquartered in Oxford, Massachusetts, IPG Photonics Corporation is a leading global developer and manufacturer of high-performance fiber, diode, and hybrid fiber-solid state lasers, along with fiber amplifiers. These advanced laser systems are primarily utilized across a wide range of materials processing applications worldwide. The company's extensive product portfolio encompasses a diverse array of laser types, including hybrid fiber-solid state lasers (offering green and UV wavelengths), fiber-pigtailed packaged diodes, fiber-coupled direct diode systems, high-energy pulsed lasers, multi-wavelength and tunable lasers, and single-polarization/single-frequency models. Complementing these are essential accessories such as high-power optical fiber delivery cables, couplers, beam switches, chillers, and scanners. IPG Photonics also offers a comprehensive range of fiber amplifiers, including erbium-doped, Raman, ytterbium, and thulium specialty types, alongside broadband light sources, which are crucial for integrated communication systems and broadband networks. Furthermore, the company develops integrated laser systems for specialized tasks, such as 2D compact flat sheet cutting, multi-axis operations, precision welding (e.g., the welding seam stepper and picker), and other high-precision or bespoke laser applications. It extends its offerings to optical transceiver and transponder modules, critical for interconnecting electronic equipment like Ethernet switches, IP routers, and DWDM/SONET/SDH optical transport modules within telecommunications, cable multi-system operator, and data center networking environments. Beyond materials processing, IPG Photonics' innovative lasers and amplifiers find diverse utility in communications, medical technology, and various other cutting-edge fields. The company markets its products to a broad customer base, including original equipment manufacturers (OEMs), system integrators, and direct end-users, leveraging its dedicated direct sales force alongside a global network of independent sales representatives and distributors.

Sector: Technology 路 Industry: Semiconductors

Shariah Compliance Status

AAOIFI Standard 21Updated Jun 17, 2026
A

Very Good

Strong compliance across all metrics

85Score

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 Cap0.4% / 30.0%

Compliance History

Halal, 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: FMP

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Financial Overview

Market Cap

4.9B

Price

$115.28

Sector

Technology

Industry

Semiconductors

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Frequently Asked Questions

Is IPG Photonics Corporation (IPGP) halal to invest in?
Based on AAOIFI Standard 21 screening, IPG Photonics Corporation (IPGP) is rated Halal with a compliance grade of A (Very Good). It passes both the business activity screen (no primary involvement in prohibited sectors) and the quantitative financial ratio screen (debt, interest deposits, and prohibited income all below AAOIFI thresholds).
Why did IPG Photonics Corporation get a A compliance rating?
IPG Photonics Corporation (IPGP) received a grade of A (Very Good) based on three AAOIFI Standard 21 financial ratios: debt-to-market-cap of 0.4% (limit 30%); interest-bearing deposits of 17.2% (limit 30%); prohibited income of 0.00% (limit 5%). The grade reflects the margin of safety across all three ratios relative to their thresholds.
What could change IPG Photonics Corporation's Shariah verdict?
IPG Photonics Corporation'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 IPG Photonics Corporation re-screened for Shariah compliance?
IPG Photonics Corporation (IPGP) 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.