Is Telephone and Data Systems, Inc. (TDS) halal? Halal. Based on AAOIFI screening, Telephone and Data Systems, Inc. passes both qualitative (business activity) and quantitative (financial ratio) screens with a compliance score of 56/100 (Grade: C+).

Telephone and Data Systems, Inc.

TDS: Is Telephone and Data Systems, Inc. Halal?

Halal

Telephone and Data Systems, Inc.

NYSECommunication ServicesUS

$40.11

+1.72%

Purify ~2.4% of income

About Telephone and Data Systems, Inc.

Telephone and Data Systems, Inc., a telecommunications company, provides communications services in the United States. It operates through two segments: UScellular and TDS Telecom. The company offers wireless solutions to consumers and business and government customers, including a suite of connected Internet of things (IoT) solutions, and software applications for monitor and control, business automation/operations, communication, fleet and asset management, smart water solutions, private cellular networks and custom, and end-to-end IoT solutions; wireless priority services and quality priority and preemption options; smartphones and other handsets, tablets, wearables, mobile hotspots, routers, and IoT devices; and accessories, such as cases, screen protectors, chargers, and memory cards, as well as consumer electronics, including audio, home automation and networking products. It also provides replace and repair services; Trade-In program through which it buys customers' used equipment; internet connections and all-home WI-FI services; TDS TV+, an integrated cloud television platform that offers video content; local and long-distance telephone service, VoIP, and enhanced services; and broadband, IP-based services, and hosted voice and video collaboration services. The company sells its products through retail sales, direct and indirect sales, third-party retailers, and independent agents, as well as through ecommerce and telesales. As of December 31, 2021, it offers its services to customers 5 million wireless connections, and 1.2 million wireline and cable connections. The company was incorporated in 1968 and is headquartered in Chicago, Illinois.

Sector: Communication Services 路 Industry: Telecommunications Services

Shariah Compliance Status

AAOIFI Standard 21Updated Jun 18, 2026
C+

Fair

Some financial ratios approaching limits

56Score

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 Cap19.7% / 30.0%

Compliance History

  1. Halalnow

    since Jun 2026

  2. Not Halal

    until the change above

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

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

Purify Your TDS Dividends

2.4% non-compliant income

TDS has 2.4% prohibited income. Calculate exactly how much of your dividends to donate.

Financial Overview

Market Cap

4.3B

Price

$40.11

Sector

Communication Services

Industry

Telecommunications Services

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Frequently Asked Questions

Is Telephone and Data Systems, Inc. (TDS) halal to invest in?
Based on AAOIFI Standard 21 screening, Telephone and Data Systems, Inc. (TDS) is rated Halal with a compliance grade of C+ (Fair). 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 Telephone and Data Systems, Inc. get a C+ compliance rating?
Telephone and Data Systems, Inc. (TDS) received a grade of C+ (Fair) based on three AAOIFI Standard 21 financial ratios: debt-to-market-cap of 19.7% (limit 30%); interest-bearing deposits of 18.3% (limit 30%); prohibited income of 2.38% (limit 5%). The grade reflects the margin of safety across all three ratios relative to their thresholds.
What could change Telephone and Data Systems, Inc.'s Shariah verdict?
Telephone and Data Systems, 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 Telephone and Data Systems, Inc. re-screened for Shariah compliance?
Telephone and Data Systems, Inc. (TDS) 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.