PANW

Palo Alto Networks

DOUBTFUL — METHODS DIFFERstock

Is PANW Halal?

Palo Alto Networks' April 2026 debt, liquidity and receivables screens pass, but disclosed other income does not isolate gross interest income and public reporting cannot reproduce a Sharia-screened revenue numerator.

What You Should Know

Palo Alto Networks' network, cloud, security-operations, observability and identity-security services are generally permissible defensive technologies. Its current debt, liquidity and receivables ratios pass the examined total-assets limits. Its filing does not separately disclose gross interest income or revenue by customer, government use, end use, product, subscription or support contract, so ZakatInvest retains a doubtful classification instead of claiming universal compliance or a fixed purification rate.

⚠️ Concerns

  • Convertible senior notes are 2.92% of total assets
  • Cash and investments are 15.11% of total assets
  • Other income combines interest, foreign-currency and convertible-note/capped-call valuation effects
  • Product, subscription, support, customer, government and end-use revenue is not disclosed as a Sharia-screened numerator
  • Government and security-sector use, surveillance, privacy, data handling, AI, false positives, stock-based compensation, acquisitions and vendor practices require qualitative review

Current quantitative Sharia screen

Based on 10-Q figures for the period ended 2026-04-30; calculated 2026-07-13.

USD · millions
Interest-bearing debt / assets
2.92%Within limit
Below 33.333% under FTSE Yasaar

1,352 / 46,266

Cash + interest-bearing securities / assets
15.11%Within limit
Below 33.333% under FTSE Yasaar

6,992 / 46,266

Receivables + cash / assets
14.24%Within limit
Below 50% under FTSE Yasaar

6,586 / 46,266

FTSE Yasaar
v4.6, February 2026
Financial
Incomplete
Overall
Incomplete

Debt is 2.92%, identifiable liquidity is 15.11%, and broad receivables plus cash is 14.24%, all below the examined limits. Gross interest income is not separately disclosed, so the financial income screen remains incomplete.

MSCI Islamic (total-assets series)
October 2024 methodology
Financial
Pass
Overall
Incomplete

Debt, cash plus identifiable interest-bearing securities and broad receivables plus cash are below the examined total-assets limits. This is not a claim about index membership; business activity remains incomplete.

Malaysia SAC financial ratios
single 5% activity benchmark adopted November 2025
Financial
Pass
Overall
Incomplete

Identifiable conventional cash and interest-bearing instruments and debt are below 33% of total assets. This is a calculation against SAC ratios, not an official SAC classification of a U.S.-listed security; screened business revenue is unavailable.

Market-cap denominator methods
MSCI M-Series, S&P and Dow Jones methods differ
Financial
Not calculated
Overall
Not calculated

A properly licensed and reproducible 24- or 36-month issuer market-cap history is not yet stored, so these methods are not estimated from a current spot price.

Business-activity disclosure

Palo Alto Networks provides network, cloud, security-operations, observability, identity-security, threat-intelligence and incident-response products and services. Preventing unauthorized access, fraud, cyberattack and data loss can serve legitimate protection of people, property, communications and essential services. The same general-purpose tools can be deployed across varied customers and uses, so a beneficial core function does not eliminate customer-, contract- and outcome-specific review.

Limitation: The filing disaggregates product, subscription and support revenue, but not revenue by government client, security operation, surveillance-related use, customer, geography, end use, data practice or prohibited category. No exact screened operating-revenue percentage can be reproduced from consolidated disclosure.

Purification

The filing does not separately report gross interest income; its other-income line also contains currency and convertible-note/capped-call valuation effects. Screened operating revenue is unavailable, so no fixed purification percentage is prescribed.

Inputs, assumptions and primary sources
  • Interest-bearing debt is the reported 160 short-term plus 1,192 long-term convertible senior notes, acquired with CyberArk. The notes had an aggregate principal amount of 1.25 billion and a 0.0% coupon; carrying fair value is used consistently with the balance sheet.
  • Cash and equivalents use 2,364. Identifiable interest-bearing securities use the reported 747 short-term and 3,881 long-term investments. The portfolio includes commercial paper, corporate debt, government and agency and asset-backed securities.
  • Receivables use 2,852 net accounts receivable plus 591 short-term and 779 long-term financing receivables, a deliberately broad customer-financing input.
  • Quarterly revenue is 3,002. Other income, net is 27 but combines interest income, foreign-currency effects and convertible-note and capped-call fair-value changes, so gross interest income is not inferred.
  • The filing reports only product, subscription and support revenue and does not classify revenue by a Sharia-screened product, customer, government use, end use, contract or data practice.

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.

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