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Is Broadcom Stock Halal? Broadcom Inc. (AVGO) passes our AAOIFI-based screen. Its core business is permissible, and (data as of 2026-05-03) interest-bearing debt is 3.6% of market cap and cash plus interest-bearing securities 1.1% — both inside the 30% AAOIFI thresholds. It is independently held by Shariah-screened ETFs SPUS and HLAL, confirming it passes professional screens. Ratios move with the share price, so check the data-as-of date; any incidental interest income should be purified. Reviewed 2026-06-15. Published by HalalWallet.

Is Broadcom Stock Halal?

Broadcom Inc. · AVGO · NASDAQ

HalalGenerally permissible

Broadcom Inc. (AVGO) passes our AAOIFI-based screen. Its core business is permissible, and (data as of 2026-05-03) interest-bearing debt is 3.6% of market cap and cash plus interest-bearing securities 1.1% — both inside the 30% AAOIFI thresholds. It is independently held by Shariah-screened ETFs SPUS and HLAL, confirming it passes professional screens. Ratios move with the share price, so check the data-as-of date; any incidental interest income should be purified.

Financial data as of 2026-05-03 · Screening basis: AAOIFI · Last reviewed 2026-06-15

Our Analysis

Broadcom combines a large semiconductor business - networking and custom AI chips, wireless components used in smartphones, broadband and storage silicon - with an infrastructure software arm built through the CA Technologies, Symantec enterprise-security and VMware acquisitions. Both segments sell technology products to businesses, so the business-activity screen raises no significant flags: there is no advertising platform, no lending arm, no entertainment content in Broadcom's disclosed revenue.

The Shariah question for Broadcom has historically been quantitative rather than qualitative. The company is a serial acquirer that finances deals with conventional debt, and the VMware purchase added substantial borrowings. Screens that measure debt against market capitalization (AAOIFI, S&P, Dow Jones, FTSE variants) have continued to pass Broadcom because its market value has grown enormously, keeping the ratio under the typical one-third threshold; investors should understand that a sharp fall in the share price, with debt unchanged, mechanically pushes that ratio up. This is the classic case where a stock's compliance is sensitive to market moves rather than to what the company sells.

As of June 11, 2026, the documented third-party picture is uniformly positive: Broadcom is held by both SPUS (4.91% weight) and HLAL (5.15% weight), and both Zoya and Musaffa publicly rate it compliant/halal under AAOIFI-based methodologies. Incidental interest income on corporate cash would call for standard purification of a small portion of returns. The main monitoring item for a Muslim investor is the debt-to-market-cap ratio at each quarterly screening, given the acquisition-driven balance sheet.

Business Activity Screen

Pass· impermissible revenue ≈ 0.5% (AAOIFI limit < 5%)

Broadcom is a designer of semiconductors and infrastructure software. Its 10-K reports two segments: semiconductor solutions (networking, broadband, wireless, storage and industrial chips, including custom AI accelerators for hyperscalers) and infrastructure software (mainframe and enterprise software from the CA, Symantec enterprise-security and VMware acquisitions).

Broadcom's revenue lines - chips and enterprise infrastructure software - do not include advertising platforms, lending, insurance or entertainment content; no revenue line in its filings is identified as directly impermissible. The Shariah-relevant feature is on the financial side: Broadcom carries substantial conventional debt taken on to fund large acquisitions (most recently VMware), which matters for ratio screens rather than the business screen. It also earns interest income on cash (incidental).

Financial Ratio Screen

ScreenValueAAOIFI limitResult
Interest-bearing debt / market cap3.6%< 30% Pass
Cash + interest-bearing securities / market cap1.1%< 30% Pass
Impermissible income / total revenueInterest income $347.0M on $63.89B total revenue (Broadcom Inc. FY2025 (fiscal year ended 2025-11-02, Form 10-K)) = 0.5% — under AAOIFI's 5% limit.0.5%< 5% Pass

Spot market cap at research date (consider trailing average for borderline names). Data as of 2026-05-03 · thresholds per AAOIFI Shariah standards.

This verdict uses the AAOIFI standard — the most widely used and, at a 30% debt limit, the most conservative mainstream Shariah standard. Interest-bearing debt and interest-bearing securities each stay under 30% of market cap, and impermissible income under 5% of revenue. Other standards (Dow Jones Islamic, S&P Shariah, MSCI Islamic, FTSE Yasaar) use ~33% limits or screen against total assets, so a borderline company can be rated differently by each. How we screen & why screeners disagree →

How Broadcom screens across Shariah standards

The standards disagree on this company. It passes some Shariah screens and fails others — which is exactly why you may see a different answer in different apps. Our headline verdict uses AAOIFI, the strictest and most widely cited mainstream standard.

StandardDebtCash & interest securitiesLimit / basisResult
AAOIFI (our standard)3.6%1.1%< 30% of market cap Pass
Dow Jones Islamic / S&P Shariah thresholdDow Jones and S&P apply this limit against a trailing 24–36-month average market cap; shown here on the same point-in-time market cap for comparison.3.6%1.1%< 33% of market cap Pass
MSCI Islamic / FTSE Yasaar basisTotal-assets denominator. MSCI/FTSE also apply entry/exit buffers and a receivables screen we do not reproduce.36.2%11.0%< 33.33% of total assets Fail

HalalWallet computation reproducing each standard's threshold and denominator from public filings (balance sheet as of 2026-05-03)not the providers' licensed index determinations, which can differ. Debt is interest-bearing borrowings (operating leases excluded). The impermissible-income screen (< 5% of revenue) is common to all of these standards and is shown in the ratio table above. Dow Jones and S&P apply their limit against a trailing 24–36-month average market cap; MSCI and FTSE add entry/exit buffers and a receivables screen. Full methodology →

These companies pass under some mainstream standards and fail under others — the same pattern as this verdict. That is why two apps can show different answers.

See all 36 stocks where standards split

Scholars' & Screeners' Positions

Published positions, cited as stated. Screeners can reach different conclusions on the same company because of ratio timing and methodology differences — we report the disagreement rather than flatten it.

  • SP Funds S&P 500 Sharia ETF (SPUS)

    Held in SPUS as of 2026-06-11 — passed the S&P Shariah screen applied by the fund.

    Source →
  • Wahed FTSE USA Shariah ETF (HLAL)

    Held in HLAL as of 2026-06-11 — passed the FTSE Shariah screen applied by the fund.

    Source →
  • Zoya

    Zoya's public stock page rates AVGO Shariah-compliant under its AAOIFI-based screen (checked 2026-06-11).

    Source →
  • Musaffa

    Musaffa's public stock page classifies AVGO as HALAL under its AAOIFI-based methodology, as of March 2026.

    Source →

Purification

Even Shariah-compliant companies typically earn a small amount of incidental interest on corporate cash. The standard practice is to purify: donate the proportion of your dividends (and, per some scholars, capital gains) attributable to impermissible income. Our purification calculator automates the math from your holding and the company's disclosed figures.

Purification calculator

Keep your portfolio halal

A pass today isn't a pass forever — ratios drift across thresholds between filings. A halal screener monitors holdings continuously.

Related guides

Consider Consulting an Islamic Scholar

Major whether Broadcom Inc. is halal decisions often involve nuances that vary by scholarly opinion and personal circumstance. While HalalWallet provides educational comparisons and tools, we are not scholars or financial advisors. For personal guidance on Shariah compliance, consider speaking with a qualified Islamic scholar, your local imam, or a Shariah-certified financial advisor familiar with your situation.

Important: HalalWallet is an educational comparison platform. We do not provide financial, legal, or religious advice.

Product structures and Shariah-compliance oversight vary by provider. Before applying:

  • Verify halal compliance directly with the provider.
  • Review the contract structure (Murabaha, Ijara, Musharakah, etc.) and any disclosed Shariah board opinions.
  • Consult a qualified Islamic finance advisor or scholar for guidance on your individual circumstances.

Frequently Asked Questions

How to cite this page

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HalalWallet. “Is Broadcom Stock Halal?.” HalalWallet, https://www.halalwallet.ca/is-it-halal/broadcom-stock. Accessed 2026-06-15.

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HalalWallet Editorial Team

Editorial Team, HalalWallet

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Reviewed by: HalalWallet Editorial TeamLast reviewed: 2026-06-15Disclosure: Featured partners may compensate HalalWallet for clicks. Editorial policy and full disclosures.

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