What is Automatic Data Processing, Inc.'s Shariah compliance score?

Automatic Data Processing, Inc. (ADP) has a Shariah compliance score of 85/100 (Grade: A, Very Good) based on AAOIFI screening standards. Scores above 70 typically indicate strong compliance. The score factors in business activity screening and financial ratio analysis including debt levels, interest-bearing deposits, and prohibited income percentages. View the full breakdown at HalalScreener.app.

Does Automatic Data Processing, Inc. pass AAOIFI screening?

Automatic Data Processing, Inc. (ADP) passes AAOIFI Shariah screening. AAOIFI requires: (1) no primary involvement in prohibited activities like alcohol, gambling, or conventional banking, (2) debt-to-market-cap below 30% (ADP: 4.3%), (3) interest-bearing deposits below 30%, and (4) prohibited income below 5%. HalalScreener provides free AAOIFI screening for 6,200+ stocks at halalscreener.app.

How much purification is needed for Automatic Data Processing, Inc. stock?

Muslim investors purify the portion of dividends and realized gains that comes from non-permissible income by donating it to charity. HalalScreener's purification calculator at halalscreener.app/en/purification computes the exact percentage and amount for Automatic Data Processing, Inc. (ADP) using the latest financial data.

Where can I screen Automatic Data Processing, Inc. for Shariah compliance for free?

HalalScreener (halalscreener.app) offers free Shariah compliance screening for Automatic Data Processing, Inc. (ADP) and 5,100+ other US-listed stocks, ETFs, and 100+ cryptocurrencies. The screening uses AAOIFI Standard No. 21 and shows the verdict, compliance grade, score, and debt ratio free. No credit card or signup required for basic screening; the full ratio breakdown is part of Pro. HalalScreener also includes an AI Islamic Scholar for follow-up questions about ADP's compliance across different madhabs (Hanafi, Shafi'i, Maliki, Hanbali, Ja'fari).

ADP: Is Automatic Data Processing, Inc. Halal?

Automatic Data Processing, Inc.

NASDAQTechnologyUS

$281.16

+0.98%

Market Cap: 112.4B

Compliance Status

Halal

Screened on Aug 29, 2026 · AAOIFI Standard 21

Very Good

85Score

Is Automatic Data Processing, Inc. (ADP) halal? Halal. Based on AAOIFI screening, Automatic Data Processing, Inc. passes both qualitative (business activity) and quantitative (financial ratio) screens with a compliance score of 85/100 (Grade: A).

Quote this verdict

HalalScreener rates Automatic Data Processing, Inc. (ADP) Halal, 85/100, grade A under AAOIFI Standard 21, screened Aug 29, 2026. Source: https://halalscreener.app/en/stock/ADP

AvoidBorderlineClean

Business activity

What the company sells is permissible.

Passed

Company debt

Well clear of the limit

How much the company borrows, compared to its total value. AAOIFI allows up to 30%.

4.3% of 30.0% limit

What this means for you

You can own ADP

It passes both the business activity and financial ratio screens under AAOIFI Standard 21.

Purification amount is Pro

We have screened ADP's prohibited income, but the exact share you would need to purify is part of Pro.

About Automatic Data Processing, Inc.

Automatic Data Processing, Inc. (ADP) is a global provider of cloud-based solutions designed for human capital management (HCM). The company organizes its operations into two primary segments: Employer Services and Professional Employer Organization (PEO). Through its Employer Services division, ADP delivers strategic, cloud-powered platforms and comprehensive human resources (HR) outsourcing. This encompasses a wide array of services such as payroll processing, benefits administration, talent acquisition and management, general HR and workforce management, insurance, retirement planning, and regulatory compliance, often integrated into holistic HCM solutions. Conversely, the Professional Employer Organization (PEO) segment specializes in offering HR outsourcing to small and mid-sized businesses, leveraging a co-employment framework. This segment's offerings span robust benefits packages, regulatory protection and compliance, talent engagement strategies, specialized HR expertise, all-encompassing outsourcing, and even recruitment process outsourcing. Established in 1949, ADP maintains its corporate headquarters in Roseland, New Jersey.

Sector: Technology · Industry: Software - Application

Shariah Compliance Status

AAOIFI Standard 21Updated Aug 29, 2026

Compliance History

Halal, unchanged since May 2026.

No status changes recorded since we began tracking.

Tracked since May 2026. Updates automatically on each re-screen.

Fiscal: FY 2026Data source: EDGAR

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Frequently Asked Questions

Is Automatic Data Processing, Inc. (ADP) halal to invest in?

Based on AAOIFI Standard 21 screening, Automatic Data Processing, Inc. (ADP) is rated Halal with a compliance grade of A (Very Good). It passes both the business activity screen (no primary involvement in prohibited sectors) and the quantitative financial ratio screen (debt, interest deposits, and prohibited income all below AAOIFI thresholds).

Why did Automatic Data Processing, Inc. get a A compliance rating?

Automatic Data Processing, Inc. (ADP) received a grade of A (Very Good) based on three AAOIFI Standard 21 financial ratios: debt-to-market-cap of 4.3% (limit 30%). The grade reflects the margin of safety across all three ratios relative to their thresholds.

What could change Automatic Data Processing, Inc.'s Shariah verdict?

Automatic Data Processing, Inc.'s verdict is re-evaluated at each annual re-screen. Three events could change it: (1) the debt-to-market-cap ratio crossing 30%, typically from new debt issuance or a major drop in share price; (2) interest-bearing deposits exceeding 30% of market cap; or (3) prohibited revenue (alcohol, gambling, conventional finance, etc.) exceeding 5% of total revenue. Verdict flips are tracked in the compliance history section above.

How often is Automatic Data Processing, Inc. re-screened for Shariah compliance?

Automatic Data Processing, Inc. (ADP) is re-screened annually using the most recent full-year financial data from SEC filings. HalalScreener also triggers an on-demand re-screen whenever the stored data is more than 7 days old, ensuring the ratios reflect the latest available financial statements. Last screened: Aug 29, 2026.

Screened according to AAOIFI Standard No. 21 · For informational purposes only. Consult a qualified Islamic finance advisor before investing.

Disclaimer: This screening is for informational purposes only and does not constitute financial, legal, or religious advice. Compliance is evaluated using AAOIFI financial standards (debt, deposits, and prohibited income ratios) and publicly available data. Ethical, political, social, or environmental considerations are outside the scope of this screening. Individual scholars and methodologies may differ. Always consult a qualified Islamic finance advisor before making investment decisions.