The Short Answer
ServiceTitan stock (TTAN) is qualitatively halal and its known financial ratios pass, but the overall result is incomplete. The April 30, 2026 filing does not provide a universal prohibited-revenue numerator.
Current quantitative Sharia screen
Based on 10-Q figures for the period ended 2026-04-30; calculated 2026-07-15.
0 / 1,747.39
421.531 / 1,747.39
484.892 / 1,747.39
3.727 / 268.824
- Financial
- Pass
- Overall
- Incomplete
Debt/assets is 0.00%, liquidity/assets is 24.12%, receivables-plus-cash/assets is 27.75% and disclosed interest income is 1.39%; known ratios pass, while activity remains incomplete.
- Financial
- Pass
- Overall
- Incomplete
Known financial ratios pass; this is not an index-membership claim and activity remains incomplete.
- Financial
- Pass
- Overall
- Incomplete
Known debt, liquidity and disclosed income ratios pass; this is not an official classification.
- Financial
- Not calculated
- Overall
- Incomplete
A licensed historical market-cap series is not stored.
Business-activity disclosure
ServiceTitan provides cloud operations, scheduling, payments and analytics software for trade and field-service businesses. The general software activity is generally permissible, while customer end uses and any financing-related streams are not reduced to a universal prohibited-revenue numerator.
Limitation: The filing does not classify every payments, financing or customer end-use stream by a universal Sharia category; activity remains qualitative.
Purification
ServiceTitan discloses $3.727 million of interest income for the quarter, but ZakatInvest does not prescribe a scholar-approved purification percentage.
Inputs, assumptions and primary sources
- Amounts are USD millions from ServiceTitan's April 30, 2026 Form 10-Q.
- No loans were outstanding under the amended revolving credit agreement at April 30, 2026; operating lease liabilities are excluded.
- Cash and cash equivalents are $421.531 million; no separate interest-bearing securities balance is reported.
- Net accounts receivable is $63.361 million and first-quarter revenue is $268.824 million.
- The filing reports $3.727 million of interest income for the quarter; no fixed purification percentage is prescribed.
- Trade and field-service operations software is generally permissible, while payments, financing features and customer end uses require qualitative review.
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.
Developing and licensing operations software for the trades is generally permissible. ServiceTitan reports no loans outstanding, and disclosed interest income is 1.39% of quarterly revenue. Payments, financing features and customer end uses remain qualitative because no universal prohibited-revenue numerator is 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)
ServiceTitan's Business Activity
ServiceTitan provides a cloud platform that runs the day-to-day operations of trade and field-service businesses. It covers:
- Scheduling & dispatch: Job management for HVAC, plumbing, and electrical contractors
- Customer & marketing: CRM and marketing tools for service businesses
- Invoicing & analytics: Billing, payments, and business reporting
Developing and licensing this software is permissible at the activity level — it is general-purpose operations technology for small and mid-sized businesses.
Concerns to Be Aware Of
1. Interest Income on Cash
ServiceTitan holds a substantial cash balance from its IPO that generates interest income. Verify the interest-income-to-revenue ratio against the 5% threshold and purify the corresponding portion of returns.
2. Debt Ratio
ServiceTitan typically operates without meaningful conventional debt and in a net-cash position, so it comfortably passes the debt screen. Still, confirm the debt-to-market-cap ratio against the 33% threshold at the time of investment.
3. Financing Features and Profitability
Some ServiceTitan products include consumer-financing features offered to its customers' clients. Confirm that any associated interest income remains below the 5% threshold. As a recent IPO, the company's GAAP profitability and stock-based compensation should also be monitored as a valuation consideration.
Filing-Based Ratios (April 30, 2026)
Based on ServiceTitan's Form 10-Q:
- Debt / Assets: 0.00%
- Cash + interest-bearing securities / Assets: 24.12%
- Receivables + cash / Assets: 27.75%
- Disclosed interest income / Revenue: 1.39%
Methodology Interpretation
The known FTSE, MSCI and Malaysia financial ratios pass. Activity and prohibited-revenue classification remain incomplete, including the treatment of payments and financing features; this is not a universal certification.
Bottom Line
ServiceTitan (TTAN) has a generally permissible software business and passes the known financial ratios in this filing, but the overall result remains incomplete because activity and prohibited-revenue classification are not universal quantitative measures. Investors should apply their chosen methodology and purification policy.
For Muslim investors seeking cloud-software exposure, TTAN sits alongside other halal-screened names like ServiceNow (NOW) and HubSpot (HUBS).
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