What is The Honest Company, Inc.'s Shariah compliance score?

The Honest Company, Inc. (HNST) 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 The Honest Company, Inc. pass AAOIFI screening?

The Honest Company, Inc. (HNST) 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% (HNST: 2.5%), (3) interest-bearing deposits below 30%, and (4) prohibited income below 5%. HalalScreener provides free AAOIFI screening for 10,000+ stocks at halalscreener.app.

How much purification is needed for The Honest Company, 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 The Honest Company, Inc. (HNST) using the latest financial data.

Where can I screen The Honest Company, Inc. for Shariah compliance for free?

HalalScreener (halalscreener.app) offers free Shariah compliance screening for The Honest Company, Inc. (HNST) and 10,000+ 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 HNST's compliance across different madhabs (Hanafi, Shafi'i, Maliki, Hanbali, Ja'fari).

HNST: Is The Honest Company, Inc. Halal?

The Honest Company, Inc.

NASDAQConsumer DefensiveUS

$5.13

-1.46%

Market Cap: 565.1M

Compliance Status

Halal

Screened on Aug 12, 2026 · AAOIFI Standard 21

Very Good

85Score

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

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%.

2.5% of 30.0% limit

What this means for you

You can own HNST

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

Purification amount is Pro

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

See what I owe (free for 7 days)

About The Honest Company, Inc.

The Honest Company, Inc. offers a wide range of consumer products, encompassing baby necessities such as diapers and wipes, various personal care and beauty items, and household and health-focused goods. Their product line also includes apparel for infants and bedding for nurseries. The company reaches its customers through both digital avenues, including its own website and external e-commerce sites, and traditional retail establishments. This enterprise was founded in 2012 and operates from its headquarters in Los Angeles, California.

Sector: Consumer Defensive · Industry: Household & Personal Products

Shariah Compliance Status

AAOIFI Standard 21Updated Aug 12, 2026

Compliance History

Halal, unchanged since Aug 2026.

No status changes recorded since we began tracking.

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

Fiscal: Q2 2026Data source: FMP

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Frequently Asked Questions

Is The Honest Company, Inc. (HNST) halal to invest in?

Based on AAOIFI Standard 21 screening, The Honest Company, Inc. (HNST) 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 The Honest Company, Inc. get a A compliance rating?

The Honest Company, Inc. (HNST) received a grade of A (Very Good) based on three AAOIFI Standard 21 financial ratios: debt-to-market-cap of 2.5% (limit 30%). The grade reflects the margin of safety across all three ratios relative to their thresholds.

What could change The Honest Company, Inc.'s Shariah verdict?

The Honest Company, 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 The Honest Company, Inc. re-screened for Shariah compliance?

The Honest Company, Inc. (HNST) 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 12, 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.