What is Tower Semiconductor Ltd.'s Shariah compliance score?

Tower Semiconductor Ltd. (TSEM) has a Shariah compliance score of 81/100 (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 Tower Semiconductor Ltd. pass AAOIFI screening?

Tower Semiconductor Ltd. (TSEM) 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% (TSEM: 0.6%), (3) interest-bearing deposits below 30% (TSEM: 4.6%), and (4) prohibited income below 5% (TSEM: 3.0%). HalalScreener provides free AAOIFI screening for 10,000+ stocks at halalscreener.app.

How much purification is needed for Tower Semiconductor Ltd. stock?

Tower Semiconductor Ltd. (TSEM) has a non-permissible income ratio of 2.95%. Muslim investors should purify this percentage of any dividends received and capital gains realized from TSEM 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 Tower Semiconductor Ltd. for Shariah compliance for free?

HalalScreener (halalscreener.app) offers free Shariah compliance screening for Tower Semiconductor Ltd. (TSEM) 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 TSEM's compliance across different madhabs (Hanafi, Shafi'i, Maliki, Hanbali, Ja'fari).

TSEM: Is Tower Semiconductor Ltd. Halal?

Tower Semiconductor Ltd.

NASDAQTechnologyIL

$286.74

+7.34%

Market Cap: 32.0B

Compliance Status

Halal

Screened on Jul 13, 2026 · AAOIFI Standard 21

Very Good

81Score

Is Tower Semiconductor Ltd. (TSEM) halal? Halal. Based on AAOIFI screening, Tower Semiconductor Ltd. passes both qualitative (business activity) and quantitative (financial ratio) screens with a compliance score of 81/100 (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%.

0.6% of 30.0% limit

What this means for you

You can own TSEM

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

Purify 3% of your income from TSEM

That is about $3.00 of every $100 you earn from it. Donate this share to charity.

Calculate my exact amount

About Tower Semiconductor Ltd.

Tower Semiconductor Ltd. operates as a prominent independent semiconductor foundry, engaged in the worldwide production and sale of analog-intensive, mixed-signal semiconductor components. The company provides a comprehensive suite of customizable process technologies, including SiGe, BiCMOS, mixed signal/CMOS, RF CMOS, CMOS image sensors, integrated power management solutions, and MEMS. Furthermore, it offers wafer fabrication services, a design enablement platform to streamline the development process, and specialized services for process transfer optimization and new product development. Tower Semiconductor caters to both integrated device manufacturers and fabless companies, with its products serving a wide range of industries such as consumer electronics, computing, telecommunications, automotive, industrial, aerospace, defense, and medical devices. Established in 1993 and based in Migdal Haemek, Israel, its market reach extends across the United States, Japan, other Asian regions, and Europe.

Sector: Technology · Industry: Semiconductors

Shariah Compliance Status

AAOIFI Standard 21Updated Jul 13, 2026

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: FY 2025Data source: FMP

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Frequently Asked Questions

Is Tower Semiconductor Ltd. (TSEM) halal to invest in?

Based on AAOIFI Standard 21 screening, Tower Semiconductor Ltd. (TSEM) 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 Tower Semiconductor Ltd. get a A compliance rating?

Tower Semiconductor Ltd. (TSEM) received a grade of A (Very Good) based on three AAOIFI Standard 21 financial ratios: debt-to-market-cap of 0.6% (limit 30%); interest-bearing deposits of 4.6% (limit 30%); prohibited income of 2.95% (limit 5%). The grade reflects the margin of safety across all three ratios relative to their thresholds.

What could change Tower Semiconductor Ltd.'s Shariah verdict?

Tower Semiconductor Ltd.'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 Tower Semiconductor Ltd. re-screened for Shariah compliance?

Tower Semiconductor Ltd. (TSEM) 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 13, 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.