What is Packaging Corporation of America's Shariah compliance score?

Packaging Corporation of America (PKG) has a Shariah compliance score of 87/100 (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 Packaging Corporation of America pass AAOIFI screening?

Packaging Corporation of America (PKG) 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% (PKG: 12.4%), (3) interest-bearing deposits below 30% (PKG: 3.0%), and (4) prohibited income below 5% (PKG: 0.1%). HalalScreener provides free AAOIFI screening for 10,000+ stocks at halalscreener.app.

How much purification is needed for Packaging Corporation of America stock?

Packaging Corporation of America (PKG) has a non-permissible income ratio of 0.12%. Muslim investors should purify this percentage of any dividends received and capital gains realized from PKG 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 Packaging Corporation of America for Shariah compliance for free?

HalalScreener (halalscreener.app) offers free Shariah compliance screening for Packaging Corporation of America (PKG) 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 PKG's compliance across different madhabs (Hanafi, Shafi'i, Maliki, Hanbali, Ja'fari).

PKG: Is Packaging Corporation of America Halal?

Packaging Corporation of America

NYSEConsumer CyclicalUS

$225.76

-0.04%

Market Cap: 20.1B

Compliance Status

Halal

Screened on Jul 15, 2026 · AAOIFI Standard 21

Very Good

87Score

Is Packaging Corporation of America (PKG) halal? Halal. Based on AAOIFI screening, Packaging Corporation of America passes both qualitative (business activity) and quantitative (financial ratio) screens with a compliance score of 87/100 (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%.

12.4% of 30.0% limit

What this means for you

You can own PKG

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

Purify 0.1% of your income from PKG

That is about $0.10 of every $100 you earn from it. Donate this share to charity.

Calculate my exact amount

About Packaging Corporation of America

Packaging Corporation of America (PCA) is a U.S.-based enterprise specializing in the production and sale of containerboard and corrugated packaging materials. Its operations are organized into two primary divisions: Packaging and Paper. The Packaging division offers an extensive array of containerboard and corrugated solutions. These encompass conventional shipping containers designed for safeguarding and transporting manufactured goods, vibrant multi-color boxes and point-of-sale displays aimed at enhancing product merchandising in retail environments, and honeycomb protective packaging. This segment also provides specialized packaging for perishable goods like meat and fresh produce, processed foods, beverages, and a broad spectrum of other industrial and consumer products. Its corrugated offerings reach customers through a multi-channel approach, utilizing a dedicated direct sales and marketing team, independent brokers, and various distribution partners. Meanwhile, the Paper segment focuses on manufacturing and distributing a range of commodity and specialty papers. This includes communication papers, such as standard cut-size office paper, along with specialized printing and converting papers. Sales of its white paper products are managed directly by its internal sales and marketing organization. Tracing its origins back to 1867, Packaging Corporation of America maintains its corporate headquarters in Lake Forest, Illinois.

Sector: Consumer Cyclical · Industry: Packaging & Containers

Shariah Compliance Status

AAOIFI Standard 21Updated Jul 15, 2026

Compliance History

Halal, unchanged since Jun 2026.

No status changes recorded since we began tracking.

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

Fiscal: Q1 2026Data source: EDGAR

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Frequently Asked Questions

Is Packaging Corporation of America (PKG) halal to invest in?

Based on AAOIFI Standard 21 screening, Packaging Corporation of America (PKG) 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 Packaging Corporation of America get a A compliance rating?

Packaging Corporation of America (PKG) received a grade of A (Very Good) based on three AAOIFI Standard 21 financial ratios: debt-to-market-cap of 12.4% (limit 30%); interest-bearing deposits of 3.0% (limit 30%); prohibited income of 0.12% (limit 5%). The grade reflects the margin of safety across all three ratios relative to their thresholds.

What could change Packaging Corporation of America's Shariah verdict?

Packaging Corporation of America'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 Packaging Corporation of America re-screened for Shariah compliance?

Packaging Corporation of America (PKG) 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 15, 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.