What is Southwest Airlines Co.'s Shariah compliance score?

Southwest Airlines Co. (LUV) has a Shariah compliance score of 61/100 (Grade: B, Acceptable) 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 Southwest Airlines Co. pass AAOIFI screening?

Southwest Airlines Co. (LUV) partially passes with caution 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% (LUV: 25.4%), (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 Southwest Airlines Co. 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 Southwest Airlines Co. (LUV) using the latest financial data.

Where can I screen Southwest Airlines Co. for Shariah compliance for free?

HalalScreener (halalscreener.app) offers free Shariah compliance screening for Southwest Airlines Co. (LUV) 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 LUV's compliance across different madhabs (Hanafi, Shafi'i, Maliki, Hanbali, Ja'fari).

LUV: Is Southwest Airlines Co. Halal?

Southwest Airlines Co.

NYSEIndustrialsUS

$38.61

+0.83%

Market Cap: 18.9B

Compliance Status

Doubtful

Screened on Aug 31, 2026 · AAOIFI Standard 21

Acceptable

61Score

Is Southwest Airlines Co. (LUV) halal? Doubtful. Based on AAOIFI screening, Southwest Airlines Co. passes the business activity screen but has financial ratios approaching AAOIFI limits with a compliance score of 61/100 (Grade: B).

Quote this verdict

HalalScreener rates Southwest Airlines Co. (LUV) Doubtful, 61/100, grade B under AAOIFI Standard 21, screened Aug 31, 2026. Source: https://halalscreener.app/en/stock/LUV

AvoidBorderlineClean

Business activity

What the company sells is permissible.

Passed

Company debt

Close to the limit

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

25.4% of 30.0% limit

What this means for you

You may own LUV, with caution

Its numbers sit close to AAOIFI limits. Cautious investors may prefer alternatives or ask a scholar first.

Purification amount is Pro

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

About Southwest Airlines Co.

Southwest Airlines Co. functions as a passenger airline, offering scheduled air travel services predominantly across the United States and to select neighboring international markets. As of December 31, 2021, the company maintained a consistent fleet of 728 Boeing 737 aircraft. Its extensive route network served 121 different locations, spanning 42 U.S. states, the District of Columbia, and the Commonwealth of Puerto Rico, along with 10 international countries close by. These international destinations include Mexico, Jamaica, the Bahamas, Aruba, the Dominican Republic, Costa Rica, Belize, Cuba, the Cayman Islands, and Turks and Caicos. To enhance the passenger journey, Southwest provides in-flight entertainment and internet access on its Wi-Fi-enabled planes. The airline also runs the Rapid Rewards loyalty program, enabling members to accumulate points proportional to the money spent on Southwest's base fares. For customer convenience in travel planning, the company offers a range of digital tools, including its official websites and mobile applications, as well as SWABIZ, a dedicated online booking platform for business clients. Additional services available include EarlyBird Check-In, preferred boarding options, and transportation for pets and unaccompanied minors. The company was founded in 1967 and its corporate headquarters are situated in Dallas, Texas.

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

Why This Stock Is Doubtful

Debt is 25.4% of market cap, only 4.6 points below the 30% AAOIFI limit

Stocks are marked Doubtful when financial ratios pass but approach AAOIFI thresholds. Consider consulting a qualified scholar for a definitive ruling.

Shariah Compliance Status

AAOIFI Standard 21Updated Aug 31, 2026

Compliance History

Doubtfulnow
since Aug 2026
Halal
until the change above

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

Fiscal: Q2 2026Data source: EDGAR

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Frequently Asked Questions

Is Southwest Airlines Co. (LUV) halal to invest in?

Southwest Airlines Co. (LUV) is rated Doubtful under AAOIFI Standard 21. It passes the business activity screen but one or more financial ratios are approaching (though not yet exceeding) the AAOIFI thresholds (30% for debt and interest deposits, 5% for prohibited income). Consult a qualified Islamic finance scholar for a personal ruling.

Why did Southwest Airlines Co. get a B compliance rating?

Southwest Airlines Co. (LUV) received a grade of B (Acceptable) based on three AAOIFI Standard 21 financial ratios: debt-to-market-cap of 25.4% (limit 30%). The grade reflects the margin of safety across all three ratios relative to their thresholds.

What could change Southwest Airlines Co.'s Shariah verdict?

Southwest Airlines Co.'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 Southwest Airlines Co. re-screened for Shariah compliance?

Southwest Airlines Co. (LUV) 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 31, 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.