The Short Answer
Albemarle stock (ALB) is currently classified as HALAL in the qualitative catalog, while the current filing-based quantitative result is incomplete. Mining and processing lithium, bromine, and catalysts is generally permissible, and the known asset ratios pass.
Current quantitative Sharia screen
Based on 10-Q figures for the period ended 2026-03-31; calculated 2026-07-15.
1,881.831 / 15,139.578
1,089.809 / 15,139.578
1,749.291 / 15,139.578
- Financial
- Incomplete
- Overall
- Incomplete
Debt/assets is 12.43%, liquidity/assets is 7.20% and receivables-plus-cash/assets is 11.55%; gross interest income is unavailable.
- Financial
- Pass
- Overall
- Incomplete
Known asset ratios pass examined MSCI total-assets limits; income and product end-use classification remain incomplete.
- Financial
- Pass
- Overall
- Incomplete
Known debt and liquidity ratios pass examined limits; this is a calculation against SAC ratios, not an official classification.
- Financial
- Not calculated
- Overall
- Incomplete
A licensed historical market-cap series is not stored and income/product end-use disclosure remains incomplete.
Business-activity disclosure
Albemarle produces lithium, bromine specialties and catalysts for battery, industrial and chemical markets. The materials business is generally permissible in principle, while product end-use allocation remains qualitative.
Limitation: The filing does not provide a universal prohibited-activity revenue numerator by product or end use.
Purification
Gross interest income is not separately disclosed in the filing, so no income ratio or fixed purification percentage is asserted.
Inputs, assumptions and primary sources
- Amounts are USD millions from Albemarle's March 31, 2026 Form 10-Q.
- Interest-bearing debt is $74.628 million current plus $1,807.203 million noncurrent; operating leases are excluded.
- Cash and cash equivalents are $1,089.809 million; the $23.560 million marketable equity-securities balance is not counted as interest-bearing securities.
- Accounts receivable and other receivables total $659.482 million and first-quarter revenue is $1,428.731 million.
- Gross interest income is not separately disclosed; no income numerator or purification percentage is inferred.
- Lithium, bromine and catalyst end uses are generally permissible in principle, but prohibited end-use revenue is not allocated.
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.
The March 31, 2026 filing shows interest-bearing debt/assets of 12.43%, liquidity/assets of 7.20%, and receivables plus cash/assets of 11.55%. Gross interest income and a universal prohibited-revenue numerator are not separately disclosed.
Sharia Screening Methodology
Islamic scholars use several criteria to screen stocks:
- Business activity screen: Is the company's primary business halal?
- Debt ratio: Total debt / market cap must be under 33%
- Interest income: Interest income / total revenue must be under 5%
- Haram revenue: Revenue from haram sources must be under 5%
- Receivables ratio: Total receivables / total assets must be under 49–70% (varies by board)
Albemarle's Business Activity
Albemarle Corporation is one of the world's largest lithium producers. Its activity is:
- Energy storage: Lithium for electric-vehicle and grid batteries
- Specialties: Bromine-based flame retardants and specialty chemicals
- Catalysts: Refining and chemical-process catalysts
Mining and processing industrial materials is a clearly permissible activity with no haram revenue line.
Why ALB Is Halal
1. Permissible Core Business
Producing lithium and specialty chemicals is a halal materials business that supplies the energy-storage and industrial supply chains. There is no gambling, alcohol, conventional banking, or other prohibited line at the heart of the business.
2. Debt Ratio Is the Item to Watch
The filing-based interest-bearing debt/assets ratio is 12.43%, below the examined asset-based limits. Commodity prices, capital spending and acquisitions can change the balance sheet.
3. Interest on Cash to Purify
Gross interest income is not separately disclosed, so no income ratio or fixed purification percentage is asserted. Re-screen the ratios periodically given the commodity-price sensitivity.
Filing-Based Ratios (March 31, 2026)
Based on Albemarle's latest Form 10-Q:
- Debt / Total Assets: 12.43% — below examined limits ✅
- Liquidity / Total Assets: 7.20% ✅
- Receivables + Cash / Total Assets: 11.55% ✅
- Gross Interest Income: Not separately disclosed — purification remains incomplete ⚠️
- Prohibited-Product Revenue: No universal numerator disclosed — qualitative review required ⚠️
Methodology Interpretation
The current filing-based asset ratios pass the examined FTSE, MSCI and Malaysia-style limits. Lithium and specialty-chemicals activity remains generally permissible, but income and product/end-use allocation remain incomplete.
- Core activity: Lithium, bromine specialties and catalysts
- Quantitative status: Known asset ratios pass; data remains incomplete
- Scholar review: Confirm income and downstream product treatment
Bottom Line
Albemarle (ALB) has a generally permissible core activity and passing known asset ratios, but the current filing-based result is incomplete because gross interest income and a universal prohibited-revenue numerator are not separately disclosed.
For Muslim investors seeking materials and mining exposure, compare ALB with peers like Freeport-McMoRan (FCX) and Nucor (NUE).
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