What is Watsco, Inc.'s Shariah compliance score?

Watsco, Inc. (WSO) has a Shariah compliance score of 93/100 (Grade: A+, Excellent) 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 Watsco, Inc. pass AAOIFI screening?

Watsco, Inc. (WSO) 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% (WSO: 2.3%), (3) interest-bearing deposits below 30% (WSO: 4.6%), and (4) prohibited income below 5% (WSO: 0.3%). HalalScreener provides free AAOIFI screening for 10,000+ stocks at halalscreener.app.

How much purification is needed for Watsco, Inc. stock?

Watsco, Inc. (WSO) has a non-permissible income ratio of 0.28%. Muslim investors should purify this percentage of any dividends received and capital gains realized from WSO 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 Watsco, Inc. for Shariah compliance for free?

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

WSO: Is Watsco, Inc. Halal?

Watsco, Inc.

NYSEIndustrialsUS

$385.16

-0.54%

Market Cap: 15.9B

Compliance Status

Halal

Screened on Jul 17, 2026 · AAOIFI Standard 21

A+

Excellent

93Score

Is Watsco, Inc. (WSO) halal? Halal. Based on AAOIFI screening, Watsco, Inc. passes both qualitative (business activity) and quantitative (financial ratio) screens with a compliance score of 93/100 (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%.

2.3% of 30.0% limit

What this means for you

You can own WSO

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

Purify 0.3% of your income from WSO

That is about $0.30 of every $100 you earn from it. Donate this share to charity.

Calculate my exact amount

About Watsco, Inc.

Watsco, Inc., together with its subsidiaries, engages in the distribution of air conditioning, heating, and refrigeration equipment, and related parts and supplies in the United States, Canada, Latin America, and the Caribbean. It distributes equipment, including residential ducted and ductless air conditioners, such as gas, electric, and oil furnaces; commercial air conditioning and heating equipment systems; and other specialized equipment. The company also offers parts comprising replacement compressors, evaporator coils, motors, and other component parts; and supplies, such as thermostats, insulation materials, refrigerants, ductworks, grills, registers, sheet metals, tools, copper tubing, concrete pads, tapes, adhesives, and other ancillary supplies, as well as plumbing and bathroom remodeling supplies. It serves contractors and dealers that service the replacement and new construction markets for residential and light commercial central air conditioning, heating, and refrigeration systems. Watsco, Inc. was incorporated in 1956 and is headquartered in Miami, Florida.

Sector: Industrials · Industry: Industrial - Distribution

Shariah Compliance Status

AAOIFI Standard 21Updated Jul 17, 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 Watsco, Inc. (WSO) halal to invest in?

Based on AAOIFI Standard 21 screening, Watsco, Inc. (WSO) is rated Halal with a compliance grade of A+ (Excellent). 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 Watsco, Inc. get a A+ compliance rating?

Watsco, Inc. (WSO) received a grade of A+ (Excellent) based on three AAOIFI Standard 21 financial ratios: debt-to-market-cap of 2.3% (limit 30%); interest-bearing deposits of 4.6% (limit 30%); prohibited income of 0.28% (limit 5%). The grade reflects the margin of safety across all three ratios relative to their thresholds.

What could change Watsco, Inc.'s Shariah verdict?

Watsco, 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 Watsco, Inc. re-screened for Shariah compliance?

Watsco, Inc. (WSO) 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.