AGCO
AGCO Corporation
Is AGCO Halal?
Agricultural equipment and precision-farming technology are generally permissible, and AGCO's current asset-based financial ratios pass; its Rabobank-linked captive-finance joint ventures require separate qualitative review.
What You Should Know
AGCO's March 31, 2026 Form 10-Q reports $12,040.9 million of total assets, $2,574.2 million of interest-bearing debt, $514.9 million of cash, $1,242.3 million of accounts and notes receivable and $2,342.9 million of quarterly net sales. Those inputs produce debt/assets of 21.38%, liquidity of 4.28% and receivables plus cash/assets of 14.59%. Equity in net earnings of affiliates was $18.0 million, primarily from AGCO Finance joint ventures; that is used as a conservative upper-bound finance-income proxy equal to 0.77% of sales, not asserted to be pure interest income. Agricultural machinery, implements and precision-agriculture technology are generally permissible, while the captive-finance contracts and post-divestiture business mix remain qualitative review topics. This is a current ZakatInvest calculation, not an index-membership claim.
⚠️ Concerns
- •Debt/assets of 21.38%, liquidity of 4.28% and receivables plus cash/assets of 14.59% pass the examined asset-based limits
- •AGCO Finance joint ventures with Rabobank provide retail and wholesale financing; equity-method income of $18.0 million is a conservative upper-bound proxy, not a pure interest-income disclosure
- •The 2024 Grain & Protein divestiture changed the perimeter; historical porcine or poultry-systems exposure should not be silently carried into current operations
- •Agricultural-equipment demand is cyclical and exposed to farmer income, commodity prices, tariffs, inventory and dealer-financing conditions
- •PTx Trimble precision-agriculture technology raises data, autonomy, repairability and environmental diligence topics
- •Market-cap denominator methods are not calculated without a licensed historical market-cap series
Current quantitative Sharia screen
Based on 10-Q figures for the period ended 2026-03-31; calculated 2026-07-13.
2,574.2 / 12,040.9
514.9 / 12,040.9
1,757.2 / 12,040.9
18 / 2,342.9
- Financial
- Pass
- Overall
- Incomplete
Debt is 21.38%, liquidity is 4.28%, receivables plus cash are 14.59% and the AGCO Finance upper-bound income proxy is 0.77%; the examined financial ratios pass, while business and contract allocation remain incomplete.
- Financial
- Pass
- Overall
- Incomplete
Debt, liquidity and receivables plus cash pass the examined MSCI total-assets limits. AGCO Finance and product-level business allocation remain qualitative; this is a calculation against the named method, not an index-membership claim.
- Financial
- Pass
- Overall
- Incomplete
Debt is 21.38%, liquidity is 4.28% and the finance-income upper-bound proxy is 0.77%; business and contract allocation remains incomplete. This is a calculation against SAC ratios, not an official classification of a U.S.-listed security.
- Financial
- Not calculated
- Overall
- Not calculated
A properly licensed and reproducible historical market-cap series is not stored, so these methods are not estimated from a current spot price.
Business-activity disclosure
AGCO designs, manufactures and distributes tractors, combines, implements, hay-and-forage equipment, application equipment and precision-agriculture technology under brands including Fendt, Massey Ferguson, Valtra, Challenger, Gleaner and PTx Trimble. These agricultural-equipment activities are generally permissible at the issuer level.
Limitation: Public segment reporting does not provide a universal prohibited-revenue numerator by product, customer end use or financing structure. AGCO Finance is separately discussed as an equity joint venture, but the filing does not allocate a corporate prohibited-revenue percentage.
Purification
The agricultural-equipment activity is generally permissible, but AGCO Finance income is disclosed only as equity in earnings of affiliates and no universal prohibited-revenue numerator or fixed scholar-approved purification percentage is asserted.
Inputs, assumptions and primary sources
- Inputs use AGCO's March 31, 2026 Form 10-Q; amounts are USD millions.
- Assets use reported total assets of $12,040.9 million. Cash and cash equivalents were $514.9 million and accounts and notes receivable net were $1,242.3 million.
- Debt uses $555.5 million of borrowings due within one year plus $2,018.7 million of long-term debt less current portion and debt issuance costs. Operating lease liabilities are not silently added.
- No separately disclosed interest-bearing securities balance is entered. AGCO's affiliate investments and receivables are not double-counted as securities.
- Quarterly net sales were $2,342.9 million. Equity in net earnings of affiliates was $18.0 million, primarily from AGCO Finance joint ventures; it is used as a conservative upper bound for potentially finance-related income, not asserted to be pure interest income.
- The filing does not allocate a reproducible prohibited-revenue numerator for agricultural products, customer use, financing activity or the post-divestiture Grain & Protein perimeter. No unsupported haram-revenue percentage is asserted.
This is a reproducible financial screen, not a fatwa. A failed total-assets screen can coexist with a pass under a market-cap methodology. ZakatInvest keeps the qualitative assessment separate so numerical thresholds do not erase material context.
Similar Stocks
Want to screen more assets?
Use our interactive Halal Checker to screen any stock, ETF, or crypto instantly.
Go to Halal Checker →