NDLSNot HalalF
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Compliance Status

Not Halal

Screened on Oct 9, 2026 · AAOIFI Standard 21

F

Non-Compliant

0Score

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

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HalalScreener rates Noodles & Company (NDLS) Not Halal, 0/100, grade F under AAOIFI Standard 21, screened Oct 9, 2026. Source: https://halalscreener.app/en/stock/NDLS

Business activity

Its main business is permissible, with some incidental non-compliant revenue.

Passed

Company debt

Over the limit

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

122.4% of 30.0% limit
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Screened according to AAOIFI Standard 21

What this means for you

Most scholars advise not holding NDLS

It does not pass AAOIFI Shariah screening.

See halal alternatives from the same sector further down this page

Noodles & Company

NDLS: Is Noodles & Company Halal?

Noodles & Company

NASDAQConsumer CyclicalUS

$14.22

Market Cap: 84.8M

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About Noodles & Company

Noodles & Company is a fast-casual dining enterprise, engaged in both the conceptualization and operation of its eateries. Patrons can choose from an extensive menu of meals prepared fresh to order, featuring a variety of noodle and pasta dishes, comforting soups, crisp salads, and enticing appetizers. By December 28, 2021, the company's operational reach spanned 29 U.S. states, with a total of 448 restaurants in service. This total was composed of 372 company-owned locations and 76 independently operated franchise outlets. The organization was established in 1995 and its corporate headquarters are situated in Broomfield, Colorado.

Sector: Consumer Cyclical · Industry: Restaurants

Why this does not pass

  • Interest-bearing debt is 122.4% 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 9, 2026

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Business Activity Screen

Passed

Checks if the business is involved in prohibited activities (alcohol, gambling, pork, conventional banking, etc.)

Peripheral exposure (still halal, purify this share)
2.0%

Primary business is permissible. AAOIFI allows up to 5% revenue from incidental non-compliant sources, provided the share is purified.

  • •Estimated 2.0% of revenue from non-compliant sources. This is an average for Restaurants, not a figure the company reports.

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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.

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Screened according to AAOIFI Standard 21

Compliance History

Not 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: EDGAR
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Frequently Asked Questions

Is Noodles & Company (NDLS) halal to invest in?
Noodles & Company (NDLS) 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 Noodles & Company get a F compliance rating?
Noodles & Company (NDLS) received a grade of F (Non-Compliant) based on three AAOIFI Standard 21 financial ratios: debt-to-market-cap of 122.4% (limit 30%). The grade reflects the margin of safety across all three ratios relative to their thresholds.
What could change Noodles & Company's Shariah verdict?
Noodles & Company'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 Noodles & Company re-screened for Shariah compliance?
Noodles & Company (NDLS) 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 9, 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.