What is Stepan Co's Shariah compliance score?

Stepan Co's (SCL) compliance score is being calculated. Check HalalScreener.app for the latest AAOIFI screening results.

Does Stepan Co pass AAOIFI screening?

Stepan Co (SCL) 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% (SCL: 46.6%), (3) interest-bearing deposits below 30% (SCL: 9.9%), and (4) prohibited income below 5% (SCL: 0.2%). HalalScreener provides free AAOIFI screening for 10,000+ stocks at halalscreener.app.

How much purification is needed for Stepan Co stock?

Stepan Co (SCL) has a non-permissible income ratio of 0.16%. Muslim investors should purify this percentage of any dividends received and capital gains realized from SCL 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 Stepan Co for Shariah compliance for free?

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

SCL: Is Stepan Co Halal?

Stepan Co

NYSEBasic MaterialsUS

$59.24

+1.02%

Market Cap: 1.3B

Compliance Status

Not Halal

Screened on Jul 17, 2026 · AAOIFI Standard 21

Non-Compliant

0Score

Is Stepan Co (SCL) halal? Not Halal. Based on AAOIFI screening, Stepan Co 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%.

46.6% of 30.0% limit

What this means for you

Most scholars advise not holding SCL

It does not pass AAOIFI Shariah screening.

See halal alternatives from the same sector further down this page

About Stepan Co

Stepan Company, together with its subsidiaries, produces and sells specialty and intermediate chemicals to other manufacturers for use in various end products in the United States, France, Poland, the United Kingdom, Brazil, Mexico, and internationally. It operates through three segments: Surfactants, Polymers, and Specialty Products. The Surfactants segment offers surfactants that are used in consumer and industrial cleaning and disinfection products, including detergents for washing clothes, dishes, carpets, and floors and walls, as well as shampoos and body washes; and other applications, such as fabric softeners, germicidal quaternary compounds, disinfectants, lubricating ingredients; emulsifiers for spreading agricultural products; and industrial applications comprising latex systems, plastics, and composites. The Polymers segment provides polyurethane polyols that are used in the manufacture of rigid foam for thermal insulation in the construction industry, as well as a base raw material for coatings, adhesives, sealants, and elastomers (CASE); polyester resins used in coating applications; specialty polyols, such as CASE and powdered polyester resins; and phthalic anhydride that is used in unsaturated polyester resins, alkyd resins, and plasticizers for applications in construction materials, as well as components of automotive, boating, and other consumer products. The Specialty Products segment offers flavors, emulsifiers, and solubilizers for use in food, flavoring, nutritional supplement, and pharmaceutical applications. Stepan Company was founded in 1932 and is headquartered in Northbrook, Illinois.

Sector: Basic Materials · Industry: Chemicals - Specialty

Shariah Compliance Status

AAOIFI Standard 21Updated Jul 17, 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: Q1 2026Data source: EDGAR

Halal Alternatives in Basic Materials

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

NWPXA+

NWPX Infrastructure, Inc.

$120.30

-0.24%

CRMLA+

Critical Metals Corp.

$10.15

+0.79%

GROYA+

Gold Royalty Corp.

$3.22

-1.44%

IDRA+

Idaho Strategic Resources, Inc.

$35.44

-1.80%

HLA+

Hecla Mining Company

$15.40

-0.90%

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DOW

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Frequently Asked Questions

Is Stepan Co (SCL) halal to invest in?

Stepan Co (SCL) 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 Stepan Co get a F compliance rating?

Stepan Co (SCL) received a grade of F (Non-Compliant) based on three AAOIFI Standard 21 financial ratios: debt-to-market-cap of 46.6% (limit 30%); interest-bearing deposits of 9.9% (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 Stepan Co's Shariah verdict?

Stepan 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 Stepan Co re-screened for Shariah compliance?

Stepan Co (SCL) 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 17, 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.