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

Valhi, Inc.

VHI: Is Valhi, Inc. Halal?

Not Halal

Valhi, Inc.

NYSEBasic MaterialsUS

$14.39

-0.48%

About Valhi, Inc.

Valhi, Inc. engages in the chemicals, component products, and real estate management and development businesses in the Asia Pacific, Europe, North America, and internationally. The company's Chemicals segment produces and markets titanium dioxide pigments (TiO2), which are white inorganic pigments used in various applications by paint, plastics, decorative laminate, and paper manufacturers. It offers TiO2 under the KRONOS name through agents and distributors. The company's Component Products segment manufactures mechanical and electrical cabinet locks, and other locking mechanisms for use in ignition systems, mailboxes, file cabinets, desk drawers, tool storage cabinets, vending and cash containment machines, integrated inventory and access control secured narcotics boxes, medical cabinetry security, electronic circuit panels, storage compartments, and gas station security applications. It also provides stainless steel exhaust components, gauges, throttle controls, wake enhancement systems, trim tabs, and related hardware and accessories primarily for performance and ski/wakeboard boats. The company's Real Estate Management and Development segment offers utility services to industrial and municipal customers; owns real properties; and develops land holdings for commercial, industrial, and residential purposes. It also holds marketable securities and other investments. The company was incorporated in 1932 and is based in Dallas, Texas. Valhi, Inc. is a subsidiary of Contran Corporation.

Sector: Basic Materials 路 Industry: Chemicals

Shariah Compliance Status

AAOIFI Standard 21Updated Jun 17, 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 Cap143.1% / 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 17, 2026Fiscal: Q1 2026Source: EDGAR

Financial Overview

Market Cap

407.3M

Price

$14.39

Sector

Basic Materials

Industry

Chemicals

Halal Alternatives in Basic Materials

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

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NWPX Infrastructure, Inc.
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NWPX Infrastructure, Inc.

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Gold Royalty Corp.
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Gold Royalty Corp.

$3.22

-1.44%

Idaho Strategic Resources, Inc.
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Idaho Strategic Resources, Inc.

$32.47

-12.01%

Hecla Mining Company
HLA+

Hecla Mining Company

$14.78

-12.18%

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Frequently Asked Questions

Is Valhi, Inc. (VHI) halal to invest in?
Valhi, Inc. (VHI) 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 Valhi, Inc. get a F compliance rating?
Valhi, Inc. (VHI) received a grade of F (Non-Compliant) based on three AAOIFI Standard 21 financial ratios: debt-to-market-cap of 143.1% (limit 30%); interest-bearing deposits of 52.5% (limit 30%); prohibited income of 0.80% (limit 5%). The grade reflects the margin of safety across all three ratios relative to their thresholds.
What could change Valhi, Inc.'s Shariah verdict?
Valhi, 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 Valhi, Inc. re-screened for Shariah compliance?
Valhi, Inc. (VHI) 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.