The Short Answer
Atlassian stock (TEAM) is methodology-dependent on our current filing-based screen. SaaS software is generally permissible, but the March 31, 2026 filing produces different results under the examined asset proxies.
Current quantitative Sharia screen
Based on 10-Q figures for the period ended 2026-03-31; calculated 2026-07-15.
989.081 / 5,650.923
1,136.342 / 5,650.923
2,043.781 / 5,650.923
12.554 / 1,786.971
- Financial
- Pass
- Overall
- Incomplete
Debt/assets is 17.50%, liquidity/assets is 20.11%, receivables plus cash/assets is 36.17% and interest income/revenue is 0.70%; activity remains incomplete.
- Financial
- Fails
- Overall
- Fails
Receivables plus cash/assets is 36.17%, above the examined MSCI 33.33% limit; debt/assets and liquidity/assets are below their limits.
- Financial
- Pass
- Overall
- Incomplete
Debt/assets and liquidity/assets are below 33%, and interest income/revenue is 0.70%; activity remains incomplete and this is not an official classification.
- Financial
- Not calculated
- Overall
- Incomplete
A licensed historical market-cap series is not stored; methods differ because the MSCI asset proxy fails while other known asset ratios pass.
Business-activity disclosure
Atlassian develops collaboration, project-tracking and developer software. SaaS software is generally permissible, while customer end uses require separate review.
Limitation: The filing does not provide a reproducible prohibited-revenue numerator across customer end uses.
Purification
Quarterly interest income is disclosed at $12.554 million, but no scholar-approved purification percentage is inferred.
Inputs, assumptions and primary sources
- Amounts are USD millions from Atlassian's March 31, 2026 Form 10-Q.
- Long-term debt is $989.081 million; current marketable securities are not separately reported in the extracted balance sheet.
- Quarterly revenue is $1,786.971 million and interest income is $12.554 million.
- No prohibited-activity revenue numerator is separately disclosed.
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.
Debt/assets is 17.50%, liquidity/assets is 20.11%, receivables-plus-cash/assets is 36.17% and interest income/revenue is 0.70%. The MSCI-style receivables proxy fails while FTSE and Malaysia asset ratios pass.
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)
What Atlassian Does
Atlassian Corporation (co-headquartered in Sydney and San Francisco) is a leading maker of team software. Its products include:
- Jira: Project and issue tracking for software and business teams.
- Confluence: Team documentation and knowledge management.
- Trello: Visual task and project boards.
- Bitbucket and related tools: Code collaboration and DevOps workflows.
Atlassian runs a subscription (SaaS) model, selling software licenses and cloud subscriptions — a high-margin, permissible technology business.
Current Filing-Based Quantitative Screen
Based on Atlassian's March 31, 2026 Form 10-Q:
- Debt / Assets: 17.50% — below the examined limits ✅
- Liquidity / Assets: 20.11% — below the examined limits ✅
- Receivables + Cash / Assets: 36.17% — above the examined MSCI limit ❌
- Interest Income / Revenue: 0.70% — below the examined 5% benchmark ✅
Atlassian's high-growth valuation can swing the market-cap-based ratios, so re-screen periodically against the latest filings.
Concerns to Be Aware Of
1. Convertible Debt
Atlassian has issued convertible debt. This is the primary screening item on the balance sheet.
Action required: Confirm that total debt / market cap stays under the 33% threshold using the latest filings.
2. Interest Income on Cash and Investments
Atlassian holds a sizable cash-and-investments balance that earns interest income. This should be checked against the 5% threshold and the corresponding portion of returns purified by donating it to charity.
3. Software Receivables and Valuation Swings
As a subscription-software business, Atlassian carries receivables worth checking, and its high-growth valuation can move the ratio screens. Re-screen periodically.
Action required: Confirm total receivables / total assets against your screening board's threshold (49–70%).
Methodology Interpretation
FTSE Yasaar and Malaysia asset proxies pass, while the examined MSCI receivables-plus-cash proxy fails. The overall result is methodology-dependent; no third-party classification is implied.
Bottom Line
Atlassian (TEAM) is methodology-dependent on the current filing-based screen. Its software activity is generally permissible, but the examined MSCI-style receivables proxy is above its limit.
For Muslim investors seeking halal exposure to work-collaboration and developer software, TEAM is a clean, subscription-based option.
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