Applied Optoelectronics, Inc. (AAOI) - Halal (Shariah-Compliant)
Applied Optoelectronics, Inc. (AAOI) is classified as Halal (Shariah-Compliant) according to AAOIFI Shariah screening standards. This assessment is based on business activity screening and financial ratio analysis using the AAOIFI methodology.
Business Activity Screen
- Sector
- Technology
- Industry
- Communication Equipment
- Result
- Pass
- Reason
- The sector "Technology" and industry "Communication Equipment" are not in the excluded categories.
Financial Ratios
- Debt Ratio
- Value: 10.1% | Threshold: 30% | Result: Pass
- Cash & Interest-bearing Securities Ratio
- Value: 16.9% | Threshold: 30% | Result: Pass
- Non-Permissible Income Ratio
- Value: 0.4% | Threshold: 5% | Result: Pass
Dividend Purification
Purification percentage: 0.39%.Based on the company's financial statements, approximately 0.39% of dividend income should be donated to charity for purification. This is derived from identified interest income (0.39% of total income). Some scholars may differ on the exact calculation method.
About Applied Optoelectronics, Inc.
Applied Optoelectronics, Inc. engages in the design, manufacture, and sale of fiber-optic networking products in the United States, Taiwan, and China. The company offers optical modules, optical filters, lasers, laser components, subassemblies, transmitters and transceivers, turn-key equipment, headend, node, and distribution equipment, as well as amplifiers. It sells its products to internet data center operators, cable television, telecom equipment manufacturers, fiber-to-the-home, and internet service providers through its direct and indirect sales channels. Applied Optoelectronics, Inc. was incorporated in 1997 and is headquartered in Sugar Land, Texas.
Frequently Asked Questions
Is Applied Optoelectronics, Inc. (AAOI) stock halal to invest in?
According to AAOIFI Shariah screening standards, Applied Optoelectronics, Inc. (AAOI) is currently classified as Halal (Shariah-Compliant). This is based on both business activity and financial ratio screening.

