Quick Verdict
Target (TGT) is generally considered NOT COMPLIANT under mainstream Islamic screening. Target sells alcohol, tobacco, and lottery products, and some screening agencies estimate these revenue streams, combined, exceed or approach the 5% threshold that would otherwise allow for minor haram activity.
Target's Revenue Mix
Target is primarily a discretionary and essential goods retailer:
- Apparel & accessories: ~17% of sales
- Hardlines (electronics, toys, sporting goods): ~18% of sales
- Food & beverage: ~23% of sales — includes alcohol
- Household essentials: ~26% of sales
- Home furnishings: ~16% of sales
Within the food & beverage segment, alcohol is a meaningful sub-category. Target has expanded its alcohol selection, including premium wines and craft beers.
Financial Screening
- Debt / Market Cap: ~15% ✅
- Interest Income / Total Revenue: Under 1% ✅
- Haram Revenue / Total Revenue: Alcohol + tobacco estimated 3-5% ⚠️
Screening Agencies' Verdict
- Zoya App — Not Compliant ❌
- MSCI Islamic Index — Excluded ❌
- Most halal ETFs — Not held ❌
Bottom Line
Target fails Islamic screening despite being a general merchandise retailer. The combination of alcohol, tobacco, and lottery ticket sales pushes it over or near the acceptable limit for haram revenue. Muslim investors seeking retail sector exposure should look for pure-play e-commerce or specialty retailers with no alcohol exposure.
Use our free halal checker to screen TGT and thousands of other stocks.
Open Halal Checker →