What is Choice Hotels International, Inc.'s Shariah compliance score?

Choice Hotels International, Inc.'s (CHH) compliance score is being calculated. Check HalalScreener.app for the latest AAOIFI screening results.

Does Choice Hotels International, Inc. pass AAOIFI screening?

Choice Hotels International, Inc. (CHH) does not pass 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% (CHH: 38.2%), (3) interest-bearing deposits below 30% (CHH: 0.9%), and (4) prohibited income below 5% (CHH: 0.5%). HalalScreener provides free AAOIFI screening for 10,000+ stocks at halalscreener.app.

How much purification is needed for Choice Hotels International, Inc. stock?

Choice Hotels International, Inc. (CHH) has a non-permissible income ratio of 0.47%. Muslim investors should purify this percentage of any dividends received and capital gains realized from CHH shares by donating it to charity. HalalScreener's purification calculator at halalscreener.app/en/purification automates this calculation using the latest financial data.

Where can I screen Choice Hotels International, Inc. for Shariah compliance for free?

HalalScreener (halalscreener.app) offers free Shariah compliance screening for Choice Hotels International, Inc. (CHH) and 10,000+ other US-listed stocks, ETFs, and 100+ cryptocurrencies. The screening uses AAOIFI Standard No. 21 and shows all financial ratios transparently. No credit card or signup required for basic screening. HalalScreener also includes an AI Islamic Scholar for follow-up questions about CHH's compliance across different madhabs (Hanafi, Shafi'i, Maliki, Hanbali, Ja'fari).

CHH: Is Choice Hotels International, Inc. Halal?

Choice Hotels International, Inc.

NYSEConsumer CyclicalUS

$110.47

-0.93%

Market Cap: 5.0B

Compliance Status

Not Halal

Screened on Jul 19, 2026 · AAOIFI Standard 21

Non-Compliant

0Score

Is Choice Hotels International, Inc. (CHH) halal? Not Halal. Based on AAOIFI screening, Choice Hotels International, Inc. passes the business activity screen but fails financial ratio screens with a compliance score of 0/100 (Grade: F).

AvoidBorderlineClean

Business activity

What the company sells is permissible.

Passed

Company debt

Over the limit

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

38.2% of 30.0% limit

What this means for you

Most scholars advise not holding CHH

It does not pass AAOIFI Shariah screening.

See halal alternatives from the same sector further down this page

About Choice Hotels International, Inc.

Choice Hotels International, Inc., together with its subsidiaries, operates as a hotel franchisor worldwide. The company operates in Hotel Franchising and Corporate & Other segments. It franchises lodging properties under the brand names of Comfort Inn, Comfort Suites, Quality, Clarion, Clarion Pointe, Sleep Inn, Econo Lodge, Rodeway Inn, MainStay Suites, Suburban Extended Stay Hotel, WoodSpring Suites, Everhome Suites, Cambria Hotels, and Ascend Hotel Collection. The company also develops and markets cloud-based property management software to non-franchised hoteliers. As of March 31, 2022, it had approximately 7,000 hotels with approximately 600,000 rooms in 35 countries and territories. Choice Hotels International, Inc. was founded in 1939 and is headquartered in Rockville, Maryland.

Sector: Consumer Cyclical · Industry: Travel Lodging

Shariah Compliance Status

AAOIFI Standard 21Updated Jul 19, 2026

Compliance History

Not Halal, unchanged since May 2026.

No status changes recorded since we began tracking.

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

Fiscal: Q1 2026Data source: EDGAR

Halal Alternatives in Consumer Cyclical

This stock is not Shariah-compliant. Here are halal alternatives from the same sector, ranked by compliance score:

MARA+

Marriott International, Inc.

$366.24

-0.85%

FWDIA+

Forward Industries, Inc.

$3.96

+11.86%

ROLA+

Rollins, Inc.

$44.77

-0.40%

TSCOA+

Tractor Supply Company

$30.24

+1.65%

GNTXA+

Gentex Corporation

$24.35

-2.25%

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LOW

Lowe's Companies, Inc.

Free · No credit card required

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Frequently Asked Questions

Is Choice Hotels International, Inc. (CHH) halal to invest in?

Choice Hotels International, Inc. (CHH) is rated Not Halal under AAOIFI Standard 21 screening. It fails either the business activity screen (primary involvement in prohibited sectors such as conventional banking, alcohol, or gambling) or one of the quantitative financial ratio thresholds. Muslim investors should avoid or exit this position.

Why did Choice Hotels International, Inc. get a F compliance rating?

Choice Hotels International, Inc. (CHH) received a grade of F (Non-Compliant) based on three AAOIFI Standard 21 financial ratios: debt-to-market-cap of 38.2% (limit 30%); interest-bearing deposits of 0.9% (limit 30%); prohibited income of 0.47% (limit 5%). The grade reflects the margin of safety across all three ratios relative to their thresholds.

What could change Choice Hotels International, Inc.'s Shariah verdict?

Choice Hotels International, 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 Choice Hotels International, Inc. re-screened for Shariah compliance?

Choice Hotels International, Inc. (CHH) 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: Jul 19, 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.