What is LATAM Airlines Group S.A.'s Shariah compliance score?

LATAM Airlines Group S.A.'s (LTM) compliance score is being calculated. Check HalalScreener.app for the latest AAOIFI screening results.

Does LATAM Airlines Group S.A. pass AAOIFI screening?

LATAM Airlines Group S.A. (LTM) 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% (LTM: 52.6%), (3) interest-bearing deposits below 30% (LTM: 14.1%), and (4) prohibited income below 5% (LTM: 1.0%). HalalScreener provides free AAOIFI screening for 10,000+ stocks at halalscreener.app.

How much purification is needed for LATAM Airlines Group S.A. stock?

LATAM Airlines Group S.A. (LTM) has a non-permissible income ratio of 1.02%. Muslim investors should purify this percentage of any dividends received and capital gains realized from LTM 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 LATAM Airlines Group S.A. for Shariah compliance for free?

HalalScreener (halalscreener.app) offers free Shariah compliance screening for LATAM Airlines Group S.A. (LTM) 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 LTM's compliance across different madhabs (Hanafi, Shafi'i, Maliki, Hanbali, Ja'fari).

LTM: Is LATAM Airlines Group S.A. Halal?

LATAM Airlines Group S.A.

NYSEIndustrialsCL

$52.56

-1.17%

Market Cap: 15.4B

Compliance Status

Not Halal

Screened on Jul 18, 2026 · AAOIFI Standard 21

Non-Compliant

0Score

Is LATAM Airlines Group S.A. (LTM) halal? Not Halal. Based on AAOIFI screening, LATAM Airlines Group S.A. 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%.

52.6% of 30.0% limit

What this means for you

Most scholars advise not holding LTM

It does not pass AAOIFI Shariah screening.

See halal alternatives from the same sector further down this page

About LATAM Airlines Group S.A.

LATAM Airlines Group S.A., encompassing its various subsidiaries, specializes in providing both passenger and freight air transport services. The company's vast operational footprint extends across multiple continents, covering Chile, Peru, Ecuador, Colombia, Brazil, a range of other Latin American countries, the Caribbean, North America, Europe, and Oceania. In addition to its core aviation business, LATAM offers a suite of supplementary services, including ground handling, courier delivery, logistics solutions, and aircraft maintenance. As of December 31, 2023, the airline catered to passenger travel across 148 destinations in 26 countries, while its cargo operations reached 166 destinations across 33 nations, supported by a fleet of 333 aircraft. Founded in 1929, the company was initially known as LAN Airlines S.A. before officially rebranding to LATAM Airlines Group S.A. in June 2012, and its corporate headquarters are situated in Santiago, Chile.

Sector: Industrials · Industry: Airlines, Airports & Air Services

Shariah Compliance Status

AAOIFI Standard 21Updated Jul 18, 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: FY 2025Data source: FMP

Halal Alternatives in Industrials

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

PHOEA+

Phoenix Asia Holdings Limited Ordinary Shares

$17.80

+1.37%

FASTA+

Fastenal Company

$45.49

+0.30%

ODFLA+

Old Dominion Freight Line, Inc.

$233.84

-0.43%

SAIAA+

Saia, Inc.

$467.89

-6.83%

ADURA+

Aduro Clean Technologies Inc.

$13.86

-1.56%

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Frequently Asked Questions

Is LATAM Airlines Group S.A. (LTM) halal to invest in?

LATAM Airlines Group S.A. (LTM) 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 LATAM Airlines Group S.A. get a F compliance rating?

LATAM Airlines Group S.A. (LTM) received a grade of F (Non-Compliant) based on three AAOIFI Standard 21 financial ratios: debt-to-market-cap of 52.6% (limit 30%); interest-bearing deposits of 14.1% (limit 30%); prohibited income of 1.02% (limit 5%). The grade reflects the margin of safety across all three ratios relative to their thresholds.

What could change LATAM Airlines Group S.A.'s Shariah verdict?

LATAM Airlines Group S.A.'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 LATAM Airlines Group S.A. re-screened for Shariah compliance?

LATAM Airlines Group S.A. (LTM) 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 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.