CODINot HalalF
Unlock full report, free

Compliance Status

Not Halal

Screened on Oct 18, 2026 · AAOIFI Standard 21

F

Non-Compliant

0Score

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

Quote this verdict

HalalScreener rates Compass Diversified (CODI) Not Halal, 0/100, grade F under AAOIFI Standard 21, screened Oct 18, 2026. Source: https://halalscreener.app/en/stock/CODI

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%.

210.1% of 30.0% limit
PRO DETAIL

The verdict above is final and free.

Pro members can verify every number behind it: interest-bearing deposits, prohibited income breakdown, and the full AAOIFI math.

Card needed, nothing charged today

Screened according to AAOIFI Standard 21

What this means for you

Most scholars advise not holding CODI

It does not pass AAOIFI Shariah screening.

See halal alternatives from the same sector further down this page

Compass Diversified

CODI: Is Compass Diversified Halal?

Compass Diversified

NYSEIndustrialsUS

$10.01

-5.74%

Market Cap: 753.1M

Get an email if CODI's halal status changes

We re-screen Compass Diversified daily. If the verdict moves, you hear about it the same day.

Free. One click sets it up, and you can unsubscribe any time.

About Compass Diversified

Compass Diversified functions as a private equity firm, specializing in late-stage and middle-market investments. The company employs various strategies, including leveraged buyouts, industry consolidation efforts, recapitalizations, and strategic add-on acquisitions. Their investment focus is on North American enterprises, particularly those in niche industrial or branded consumer segments. They also target businesses within manufacturing, distribution, general consumer products, business services, safety & security, electronic components, as well as the food and foodservice sectors. Typically, Compass Diversified allocates between $100 million and $800 million per investment, seeking companies with an EBITDA ranging from $15 million to $80 million. A key aspect of their approach is to secure controlling or majority ownership interests in their portfolio companies, often leveraging these as platforms for subsequent acquisitions. The firm funds these ventures directly from its balance sheet and generally holds investments for a period of five to seven years. Founded in 2005, Compass Diversified's main office is located in Westport, Connecticut, with an additional presence in Costa Mesa, California.

Sector: Industrials · Industry: Conglomerates

Why this does not pass

  • Interest-bearing debt is 210.1% of market cap, over the 30% AAOIFI limit.

Screened under AAOIFI Standard 21. The exact figure behind this is part of Pro; the failing check and its limit are always free.

Shariah Compliance Status

AAOIFI Standard 21Updated Oct 18, 2026

See which ratio caused the failure.

See the exact debt ratio, interest income %, and prohibited revenue that caused the failure. Know before you sell or hold.

Free for 7 days. Cancel anytime.

Card needed, nothing charged today

AI Compliance Insight

PRO

Institutional-grade Shariah analysis

Card needed, nothing charged today

See why CODI is rated Not Halal with institutional-grade analysis

PRO DETAIL

The verdict above is final and free.

Pro members can verify every number behind it: interest-bearing deposits, prohibited income breakdown, and the full AAOIFI math.

Card needed, nothing charged today

Screened according to AAOIFI Standard 21

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: Q2 2026Data source: EDGAR
Free · No credit card required

Know the day CODI's verdict changes

A free account keeps watch on 3 stocks and emails you when a verdict moves. You also get 3 questions for the AI Scholar. No card needed.

8,200+ assets AAOIFI standards Free watchlist

Frequently Asked Questions

Is Compass Diversified (CODI) halal to invest in?
Compass Diversified (CODI) 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 Compass Diversified get a F compliance rating?
Compass Diversified (CODI) received a grade of F (Non-Compliant) based on three AAOIFI Standard 21 financial ratios: debt-to-market-cap of 210.1% (limit 30%). The grade reflects the margin of safety across all three ratios relative to their thresholds.
What could change Compass Diversified's Shariah verdict?
Compass Diversified'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 Compass Diversified re-screened for Shariah compliance?
Compass Diversified (CODI) 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: Oct 18, 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.