Stock AnalysisJuly 15, 2026 · 5 min read

Is US Lime & Minerals Stock (USLM) Halal? A Complete Analysis

US Lime & Minerals (USLM) produces lime and limestone products — a permissible materials business with a typically low-debt balance sheet. Here is the full breakdown.

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

US Lime & Minerals stock (USLM) is currently doubtful on the stored quantitative screen. Producing lime and mineral products is generally permissible and funded debt is zero, but the unusually large cash and receivable balances exceed the examined liquidity limits.

Current quantitative Sharia screen

Based on 10-Q figures for the period ended 2026-03-31; calculated 2026-07-15.

USD · millions
Interest-bearing debt / assets
0.00%Within limit
Below 33.333% under FTSE Yasaar

0 / 713.837

Cash + interest-bearing securities / assets
53.68%Above limit
Below 33.333% under FTSE Yasaar

383.165 / 713.837

Receivables + cash / assets
61.82%Above limit
Below 50% under FTSE Yasaar

441.276 / 713.837

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

Liquidity/assets is 53.68%, above the examined 33.333% limit, and receivables-plus-cash/assets is 61.82%, above the examined 50% limit.

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

Liquidity/assets is 53.68% and receivables-plus-cash/assets is 61.82%, above the examined MSCI limits.

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

Liquidity/assets is 53.68%, above the examined Malaysia limit; this is not an official classification.

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

A properly licensed and reproducible historical market-cap series is not stored; the liquidity and receivables screens already fail.

Business-activity disclosure

U.S. Lime & Minerals mines limestone and produces lime and limestone products for construction, environmental, industrial and agricultural applications. The core activity is generally permissible, while natural-gas interests and other income require qualitative review.

Limitation: The filing does not provide a universal prohibited-revenue or non-compliant-income numerator or allocate the natural-gas interests separately in the income statement.

Purification

Other income includes interest earned on cash, but the filing does not provide a reproducible gross non-compliant-income split; no fixed purification percentage is asserted.

Inputs, assumptions and primary sources
  • Amounts are USD millions from U.S. Lime & Minerals' March 31, 2026 Form 10-Q.
  • No funded interest-bearing debt is reported at the period end; operating lease liabilities are excluded from the debt proxy.
  • Cash and cash equivalents are $383.165 million; no separate interest-bearing securities balance is identified.
  • Trade receivables, net are $58.111 million.
  • Other income includes interest earned on cash and natural-gas interests but the filing does not provide a reproducible non-compliant-income split.

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 current filing-based analysis therefore treats the financial result as doubtful. Other income includes interest earned on cash and natural-gas interests, but the filing does not provide a reproducible non-compliant-income split.

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)

US Lime & Minerals' Business Activity

United States Lime & Minerals, Inc. mines limestone and produces lime products. Its activity is:

  • Lime products: Quicklime and hydrated lime for construction and industry
  • Limestone: Pulverized and sized limestone for agricultural and industrial use
  • Environmental uses: Lime for flue-gas treatment and water treatment

Producing lime and mineral products is a clearly permissible activity with no haram revenue line of its own.

Why USLM Is Halal

1. Permissible Core Business

Lime and mineral production is a halal materials business. There is no gambling, conventional banking, alcohol, or other prohibited line at the heart of the business.

2. Conservative, Low-Debt Balance Sheet

USLM is known for a conservative, typically low-debt balance sheet, which makes the leverage screen straightforward. Confirm total debt / market cap under the 33% threshold on the latest filings — it has generally screened comfortably within range.

3. Interest on Cash to Purify

USLM holds a sizable cash balance that earns interest income, which should be checked against the 5% threshold and the corresponding portion of returns purified. As a materials producer, results are cyclical with construction, industrial, and agricultural demand.

Current Filing-Based Quantitative Screen

US Lime & Minerals' March 31, 2026 Form 10-Q reports the following transparent total-assets proxies:

  • Debt / assets: 0.00% — below the examined limits ✅
  • Liquidity / assets: 53.68% — above the examined 33.333% limits ❌
  • Receivables + cash / assets: 61.82% — above the examined FTSE 50% and MSCI 33.33% limits ❌
  • Business activity: Lime and minerals are generally permissible; natural-gas interests remain qualitative ⚠️

Methodology Interpretation

The stored record applies transparent total-assets proxies for FTSE Yasaar, MSCI Islamic and Malaysia SAC-style tests. All three fail on liquidity; FTSE and MSCI-style tests also fail on receivables-plus-cash. No third-party app classification is asserted.

  • FTSE Yasaar-style asset tests: fail on liquidity and receivables-plus-cash
  • MSCI Islamic-style asset tests: fail on liquidity and receivables-plus-cash
  • Malaysia SAC-style ratios: fail on liquidity; not an official classification
  • Market-cap denominator: not calculated from a reproducible licensed series

Bottom Line

US Lime & Minerals (USLM) is doubtful in the current filing-based analysis. The core business is permissible and funded debt is zero, but cash/assets and receivables-plus-cash/assets exceed the examined limits. Re-screen after the next filing and consult a qualified scholar about the cash and natural-gas income treatment.

For Muslim investors seeking building-materials exposure, compare USLM with peers like Knife River (KNF), Arcosa (ACA), and Commercial Metals (CMC).

🔍 Check Other Stocks

Want to check if another stock is halal? Use our free screener.

Open Halal Checker →
USLM verdict card: DOUBTFUL — current screening available — screening summary, concerns & similar assetsView →
⏭ Up Next
Is US Foods Stock (USFD) Halal? A Complete Analysis

Is US Foods stock halal? We analyze USFD against Sharia screening criteria — a foodservice distributor whose logistics core is permissible but that di...

Read it now
💰
Already know you want to invest halal?
Get 50% off Islamicly — comprehensive halal screening + digital gold + portfolios.
Use code:ZAKAT50→ 50% OFF
Use Code ZAKAT50 →
📋

Get the Free 5-Minute Halal Stock Checklist

The 4 screens scholars use, with thresholds — plus occasional halal investing insights. No spam. Unsubscribe anytime.