Is TXN (Texas Instruments Inc.) halal?

Q: Is TXN (Texas Instruments Inc.) halal?

DOUBTFUL: Permissible semiconductor activity, but March 2026 debt/assets is 40.85%, above the examined asset-based limits. Texas Instruments' March 31, 2026 Form 10-Q shows $34,393 million of assets, $14,050 million of interest-bearing debt, $5,103 million of cash plus short-term investments and $2,245 million of receivables. Debt/assets is 40.85%, so the financial screen fails despite a generally permissible analog-chip business.

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TXN

Texas Instruments Inc.

DOUBTFUL — SCREEN DOES NOT PASSstock

Is TXN Halal?

Permissible semiconductor activity, but March 2026 debt/assets is 40.85%, above the examined asset-based limits.

What You Should Know

Texas Instruments' March 31, 2026 Form 10-Q shows $34,393 million of assets, $14,050 million of interest-bearing debt, $5,103 million of cash plus short-term investments and $2,245 million of receivables. Debt/assets is 40.85%, so the financial screen fails despite a generally permissible analog-chip business.

⚠️ Concerns

•Debt/assets exceeds the examined 33% limits
•Industrial, automotive and customer end uses are not fully screened
•Manufacturing energy, labor and supply-chain impacts

Current quantitative Sharia screen

Based on 10-Q figures for the period ended 2026-03-31; calculated 2026-07-14.

USD · millions

Interest-bearing debt / assets

40.85%Above limit

Below 33.333% under FTSE Yasaar

14,050 / 34,393

Cash + interest-bearing securities / assets

14.84%Within limit

Below 33.333% under FTSE Yasaar

5,103 / 34,393

Receivables + cash / assets

16.85%Within limit

Below 50% under FTSE Yasaar

5,794 / 34,393

Non-compliant income / revenue

0.97%Within limit

No more than 5% under FTSE Yasaar

47 / 4,825

Methodology	Financial	Overall	What drives it
FTSE Yasaar v4.6, February 2026	Fails	Fails	Debt/assets is 40.85%, above the examined 33.333% limit; liquidity/assets is 14.84%, receivables-plus-cash/assets is 16.85%, and the conservative OI&E proxy is 0.97%.
MSCI Islamic (total-assets series) October 2024 methodology	Fails	Fails	Debt/assets is 40.85%, above the examined MSCI total-assets limit; business activity also remains incomplete without a prohibited-revenue numerator.
Malaysia SAC financial ratios single 5% activity benchmark adopted November 2025	Fails	Fails	Debt/assets is 40.85%, above the examined Malaysia SAC limit. This is a calculation against SAC ratios, not an official SAC classification.
Market-cap denominator methods MSCI M-Series, S&P and Dow Jones methods differ	Not calculated	Not calculated	A licensed historical market-cap series is not stored, so market-cap denominator methods are not estimated from a spot price.

FTSE Yasaar

v4.6, February 2026

Financial: Fails
Overall: Fails

Debt/assets is 40.85%, above the examined 33.333% limit; liquidity/assets is 14.84%, receivables-plus-cash/assets is 16.85%, and the conservative OI&E proxy is 0.97%.

MSCI Islamic (total-assets series)

October 2024 methodology

Financial: Fails
Overall: Fails

Debt/assets is 40.85%, above the examined MSCI total-assets limit; business activity also remains incomplete without a prohibited-revenue numerator.

Malaysia SAC financial ratios

single 5% activity benchmark adopted November 2025

Financial: Fails
Overall: Fails

Debt/assets is 40.85%, above the examined Malaysia SAC limit. This is a calculation against SAC ratios, not an official SAC classification.

Market-cap denominator methods

MSCI M-Series, S&P and Dow Jones methods differ

Financial: Not calculated
Overall: Not calculated

A licensed historical market-cap series is not stored, so market-cap denominator methods are not estimated from a spot price.

Business-activity disclosure

Texas Instruments designs and manufactures analog and embedded semiconductors for industrial, automotive, personal electronics and other customers. Semiconductor manufacturing is generally permissible.

Limitation: The filing does not classify revenue by defense, surveillance, gambling, weapons or other potentially sensitive downstream uses.

Purification

OI&E of $47 million is a conservative proxy rather than a complete non-compliant-income decomposition. ZakatInvest does not prescribe a fixed purification percentage.

Inputs, assumptions and primary sources

Amounts are USD millions from Texas Instruments' March 31, 2026 Form 10-Q.
Debt is the reported current portion plus long-term debt; short-term investments are treated as identifiable interest-bearing securities.
Accounts receivable is the reported net balance. OI&E income of $47 million is used as a conservative proxy because the filing says it includes interest income and other items.
The filing does not separately disclose prohibited-business or downstream end-use revenue.

U.S. Securities and Exchange Commission: Texas Instruments First Quarter 2026 Form 10-Q FTSE Russell: FTSE Yasaar Global Equity Shariah Index Series Ground Rules MSCI: MSCI Islamic Index Series Methodology Securities Commission Malaysia: Shariah-Compliant Securities Screening Methodology

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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