Stock AnalysisJuly 13, 2026 · 6 min read

Is PagerDuty Stock (PD) Halal? Current Sharia Screen

PagerDuty provides digital-operations and incident-response SaaS. This screen separates general-purpose software from convertible-note leverage.

Time-sensitive screening snapshot: financial ratios and business mix can change after each filing. This is educational research, not a fatwa or investment advice. Verify the latest filing and your preferred Sharia standard before acting.

The Short Answer

PD is doubtful under the current filing-backed screen. General-purpose incident-response software is generally permissible, but debt and liquidity ratios fail the examined asset-based methods.

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
42.32%Above limit
Below 33.333% under FTSE Yasaar

396.327 / 936.592

Cash + interest-bearing securities / assets
47.40%Above limit
Below 33.333% under FTSE Yasaar

443.957 / 936.592

Receivables + cash / assets
30.42%Within limit
Below 50% under FTSE Yasaar

284.905 / 936.592

Non-compliant income / revenue
3.25%Within limit
No more than 5% under FTSE Yasaar

3.926 / 120.967

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

Debt/assets is 42.32% and liquidity/assets is 47.40%, above the examined FTSE limits; receivables plus cash/assets is 30.42% and interest income/revenue is 3.25%.

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

Debt/assets is 42.32% and liquidity/assets is 47.40%, above the examined MSCI limits; receivables plus cash/assets is below its limit.

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

Debt/assets is 42.32% and liquidity/assets is 47.40%, above the examined Malaysia SAC limits.

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

No licensed historical market-cap series is stored; the asset-based financial screens fail.

Business-activity disclosure

PagerDuty provides digital-operations, incident-response and AIOps software. General-purpose enterprise software is generally permissible, while downstream customer use remains a qualitative question.

Limitation: The filing does not allocate revenue into a universal prohibited-activity numerator, so no percentage is invented.

Purification

The filing discloses $3.926 million of interest income; ZakatInvest does not prescribe a fixed scholar-approved purification percentage.

Inputs, assumptions and primary sources
  • Amounts are USD millions from PagerDuty's April 30, 2026 Form 10-Q.
  • Interest-bearing securities are included in the liquidity numerator; receivables plus cash uses cash and cash equivalents only.
  • Debt uses the carrying value of convertible senior notes; quarterly revenue was $120.967 million and interest income was $3.926 million.
  • PagerDuty provides digital-operations and incident-response SaaS; the filing does not provide a universal prohibited-revenue numerator.

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.

Business activity

PagerDuty provides digital operations, incident response, automation and AIOps software to customers across technology, financial services, retail, manufacturing and the public sector. The product is general-purpose enterprise SaaS; downstream customer use remains a qualitative question.

What the filing changes

The April 30, 2026 filing reports $396.3 million of convertible-note debt and $443.96 million of cash plus interest-bearing securities against $936.6 million of assets. Debt/assets is 42.32% and liquidity/assets is 47.40%; disclosed interest income was $3.926 million.

Bottom line

PD remains doubtful. Recheck the capital structure after the next filing and use the methodology applied by your preferred Sharia adviser.

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