Starbucks Corporation

SBUX: Is Starbucks Corporation Halal?

Starbucks Corporation

NASDAQConsumer CyclicalUS

$105.49

-0.38%

Market Cap: 120.2B

Compliance Status

Halal

Screened on Jul 18, 2026 · AAOIFI Standard 21

B+

Good

76Score

Is Starbucks Corporation (SBUX) halal? Halal. Based on AAOIFI screening, Starbucks Corporation passes both qualitative (business activity) and quantitative (financial ratio) screens with a compliance score of 76/100 (Grade: B+).

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%.

13.4% of 30.0% limit

What this means for you

You can own SBUX

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

Purify 2.2% of your income from SBUX

That is about $2.20 of every $100 you earn from it. Donate this share to charity.

Calculate my exact amount

About Starbucks Corporation

Starbucks Corporation, along with its various subsidiaries, operates worldwide as a key player in roasting, marketing, and selling specialty coffee. Its business is structured into three main operating divisions: North America, International markets, and Channel Development. The company's retail outlets offer a broad assortment of coffee and tea beverages, roasted whole bean and ground coffees, single-serve options, and ready-to-drink products. Customers can also find a variety of food items, including pastries, breakfast sandwiches, and lunch selections. Furthermore, Starbucks extends its brand reach by licensing its trademarks to independently operated stores, grocery retailers, and foodservice accounts. Products are sold under well-known labels such as Starbucks, Teavana, Seattle's Best Coffee, Evolution Fresh, Ethos, Starbucks Reserve, and Princi. As of October 3, 2021, Starbucks had a significant global presence, operating 16,826 company-owned and licensed stores across North America, in addition to 17,007 similar locations internationally. The company, established in 1971, is headquartered in Seattle, Washington.

Sector: Consumer Cyclical · Industry: Restaurants

Shariah Compliance Status

AAOIFI Standard 21Updated Jul 18, 2026

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.

  • Restaurants: estimated 2.0% peripheral exposure (AAOIFI industry average)

Use the Purification Calculator to compute exactly how much of your dividend income to donate.

Compliance History

Halal, unchanged since May 2026.

No status changes recorded since we began tracking.

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

Fiscal: Q2 2026Data source: EDGAR
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Frequently Asked Questions

Is Starbucks Corporation (SBUX) halal to invest in?
Based on AAOIFI Standard 21 screening, Starbucks Corporation (SBUX) is rated Halal with a compliance grade of B+ (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 Starbucks Corporation get a B+ compliance rating?
Starbucks Corporation (SBUX) received a grade of B+ (Good) based on three AAOIFI Standard 21 financial ratios: debt-to-market-cap of 13.4% (limit 30%); interest-bearing deposits of 2.9% (limit 30%); prohibited income of 0.16% (limit 5%). The grade reflects the margin of safety across all three ratios relative to their thresholds.
What could change Starbucks Corporation's Shariah verdict?
Starbucks Corporation'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 Starbucks Corporation re-screened for Shariah compliance?
Starbucks Corporation (SBUX) 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.