What is Watsco, Inc.'s Shariah compliance score?

Watsco, Inc. (WSO) has a Shariah compliance score of 93/100 (Grade: A+, Excellent) based on AAOIFI screening standards. Scores above 70 typically indicate strong compliance. The score factors in business activity screening and financial ratio analysis including debt levels, interest-bearing deposits, and prohibited income percentages. View the full breakdown at HalalScreener.app.

Does Watsco, Inc. pass AAOIFI screening?

Watsco, Inc. (WSO) passes AAOIFI Shariah screening. AAOIFI requires: (1) no primary involvement in prohibited activities like alcohol, gambling, or conventional banking, (2) debt-to-market-cap below 30% (WSO: 2.3%), (3) interest-bearing deposits below 30% (WSO: 4.6%), and (4) prohibited income below 5% (WSO: 0.3%). HalalScreener provides free AAOIFI screening for 10,000+ stocks at halalscreener.app.

How much purification is needed for Watsco, Inc. stock?

Watsco, Inc. (WSO) has a non-permissible income ratio of 0.28%. Muslim investors should purify this percentage of any dividends received and capital gains realized from WSO shares by donating it to charity. HalalScreener's purification calculator at halalscreener.app/en/purification automates this calculation using the latest financial data.

Where can I screen Watsco, Inc. for Shariah compliance for free?

HalalScreener (halalscreener.app) offers free Shariah compliance screening for Watsco, Inc. (WSO) and 10,000+ other US-listed stocks, ETFs, and 100+ cryptocurrencies. The screening uses AAOIFI Standard No. 21 and shows all financial ratios transparently. No credit card or signup required for basic screening. HalalScreener also includes an AI Islamic Scholar for follow-up questions about WSO's compliance across different madhabs (Hanafi, Shafi'i, Maliki, Hanbali, Ja'fari).

Is Watsco, Inc. (WSO) halal? Halal. Based on AAOIFI screening, Watsco, Inc. passes both qualitative (business activity) and quantitative (financial ratio) screens with a compliance score of 93/100 (Grade: A+).

WSO: Is Watsco, Inc. Halal?

Halal

Watsco, Inc.

NYSEIndustrialsUS

$371.84

+0.12%

AvoidBorderlineClean

Purify ~0.3% of income

About Watsco, Inc.

Watsco, Inc., and its various operational units, specialize in the distribution of essential equipment for air conditioning, heating, and refrigeration (HVACR) systems, alongside a comprehensive selection of related components and materials. Their product catalog for equipment encompasses both residential and light commercial applications. This includes ducted and ductless air conditioning units, various furnace types (gas, electric, and oil), as well as more specialized commercial HVAC solutions. Beyond full systems, they provide critical spare parts such as replacement compressors, evaporator coils, motors, and other vital components. Their extensive inventory of supplies ranges from fundamental items like thermostats, insulation, refrigerants, and ductwork, to specific fixtures like grills, registers, and sheet metals. The offering further extends to tools, copper tubing, concrete pads, adhesives, tapes, other ancillary provisions, and even products for plumbing and bathroom remodeling. Watsco primarily caters to a diverse clientele of contractors and dealers. These professionals serve both the replacement and new construction segments for central air conditioning, heating, and refrigeration systems in residential and light commercial settings. By the end of 2021, the company maintained a substantial operational footprint, with 671 distinct locations spread across the United States, Canada, Mexico, and Puerto Rico. Furthermore, their products are exported to markets throughout Latin America and the Caribbean Basin. Established in 1945, Watsco, Inc. is headquartered in Miami, Florida.

Sector: Industrials · Industry: Industrial - Distribution

Shariah Compliance Status

AAOIFI Standard 21Updated Jun 16, 2026

A+

Excellent

Exceptionally strong compliance

93Score

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 Cap2.3% / 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 16, 2026Fiscal: Q1 2026Source: EDGAR

Purify Your WSO Dividends

0.3% non-compliant income

WSO has 0.3% prohibited income. Calculate exactly how much of your dividends to donate.

Financial Overview

Market Cap

15.3B

Price

$371.84

Sector

Industrials

Industry

Industrial - Distribution

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Frequently Asked Questions

Is Watsco, Inc. (WSO) halal to invest in?

Based on AAOIFI Standard 21 screening, Watsco, Inc. (WSO) is rated Halal with a compliance grade of A+ (Excellent). 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 Watsco, Inc. get a A+ compliance rating?

Watsco, Inc. (WSO) received a grade of A+ (Excellent) based on three AAOIFI Standard 21 financial ratios: debt-to-market-cap of 2.3% (limit 30%); interest-bearing deposits of 4.6% (limit 30%); prohibited income of 0.28% (limit 5%). The grade reflects the margin of safety across all three ratios relative to their thresholds.

What could change Watsco, Inc.'s Shariah verdict?

Watsco, 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 Watsco, Inc. re-screened for Shariah compliance?

Watsco, Inc. (WSO) 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 16, 2026.

Screened according to AAOIFI Standard No. 21 · 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.