What is SolarEdge Technologies, Inc.'s Shariah compliance score?

SolarEdge Technologies, Inc. (SEDG) has a Shariah compliance score of 59/100 (Grade: C+, Fair) 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 SolarEdge Technologies, Inc. pass AAOIFI screening?

SolarEdge Technologies, Inc. (SEDG) 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% (SEDG: 16.9%), (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 SolarEdge Technologies, Inc. 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 SolarEdge Technologies, Inc. (SEDG) using the latest financial data.

Where can I screen SolarEdge Technologies, Inc. for Shariah compliance for free?

HalalScreener (halalscreener.app) offers free Shariah compliance screening for SolarEdge Technologies, Inc. (SEDG) 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 SEDG's compliance across different madhabs (Hanafi, Shafi'i, Maliki, Hanbali, Ja'fari).

SEDG: Is SolarEdge Technologies, Inc. Halal?

SolarEdge Technologies, Inc.

NASDAQEnergyIL

$48.76

+8.07%

Market Cap: 3.0B

Compliance Status

Doubtful

Screened on Aug 31, 2026 · AAOIFI Standard 21

C+

Fair

59Score

Is SolarEdge Technologies, Inc. (SEDG) halal? Doubtful. Based on AAOIFI screening, SolarEdge Technologies, Inc. passes the business activity screen but has financial ratios approaching AAOIFI limits with a compliance score of 59/100 (Grade: C+).

Quote this verdict

HalalScreener rates SolarEdge Technologies, Inc. (SEDG) Doubtful, 59/100, grade C+ under AAOIFI Standard 21, screened Aug 31, 2026. Source: https://halalscreener.app/en/stock/SEDG

AvoidBorderlineClean

Business activity

What the company sells is permissible.

Passed

Company debt

Within the limit

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

16.9% of 30.0% limit

What this means for you

You may own SEDG, 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 SEDG's prohibited income, but the exact share you would need to purify is part of Pro.

About SolarEdge Technologies, Inc.

SolarEdge Technologies, Inc. (SEDG) is a company specializing in the design, development, and sale of direct current (DC) optimized inverter systems for solar photovoltaic (PV) installations globally. The company operates through five key segments: Solar, Energy Storage, e-Mobility, Critical Power, and Automation Machines. Its product portfolio encompasses inverters, power optimizers, communication devices, and smart energy management solutions, catering to residential, commercial, and smaller utility-scale solar projects. SolarEdge also provides a cloud-based monitoring platform that collects and processes data from its optimizers and inverters to oversee and manage solar PV systems. Beyond its core solar offerings, SolarEdge delivers a range of solutions including residential, commercial, and large-scale PV, energy storage and backup, electric vehicle charging, and home energy management, along with grid services. The company also extends into e-Mobility, automation machinery, lithium-ion cells and battery packs, and uninterruptible power supply (UPS) solutions, as well as developing virtual power plants to aid in grid load management and stability. To support its customers, SolarEdge offers pre-sales assistance, ongoing training programs, and technical and post-installation services. Its products are sold to providers of solar PV systems, solar installers and distributors, electrical equipment wholesalers, PV module manufacturers, and engineering, procurement, and construction (EPC) firms. Founded in 2006, SolarEdge Technologies, Inc. is headquartered in Herzliya, Israel.

Sector: Energy · Industry: Solar

Read Full Analysis

Is SolarEdge (SEDG) Stock Halal? Shariah Compliance Analysis

Why This Stock Is Doubtful

Interest-bearing deposits are 27.9% of market cap, only 2.1 points below the 30% 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
Not Halal
until the change above
Halal
until the change above
Doubtful
until the change above
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 SolarEdge Technologies, Inc. (SEDG) halal to invest in?

SolarEdge Technologies, Inc. (SEDG) 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 SolarEdge Technologies, Inc. get a C+ compliance rating?

SolarEdge Technologies, Inc. (SEDG) received a grade of C+ (Fair) based on three AAOIFI Standard 21 financial ratios: debt-to-market-cap of 16.9% (limit 30%). The grade reflects the margin of safety across all three ratios relative to their thresholds.

What could change SolarEdge Technologies, Inc.'s Shariah verdict?

SolarEdge Technologies, Inc.'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 SolarEdge Technologies, Inc. re-screened for Shariah compliance?

SolarEdge Technologies, Inc. (SEDG) 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.