Is Amazon (AMZN) Halal?
Screener: Yes — Amazon passes Shariah screening as of October 2026. Its business (online retail, cloud computing, advertising) is halal, its interest-bearing debt is 3.03% of market cap, and its interest income is 0.61% of revenue. Below: the full screening math, the co-branded-card question investors ask, and the caveats that could change the answer.
Gate 1: Business activity
Amazon is a retail, cloud, and advertising company. Its FY2025 10-K (filed February 6, 2026) reports FY2025 revenue of $716.9 billion across three segments: North America ($426.3B), International ($161.9B), and AWS ($128.7B — cloud infrastructure and services). None of its businesses are in prohibited industries (alcohol, gambling, conventional finance, weapons, adult entertainment, non-halal food).
The nuance investors ask about: the credit cards. Amazon’s 10-K discloses revenue from “co-branded credit card agreements” — co-branded cards are issued by partner banks, not by Amazon, and Amazon is not the lender. Amazon is not classified as a financial company, so the business-activity gate passes.
Gate 2: Financial ratios
AAOIFI-style screening applies three ratio tests against the latest published financials:
| Ratio | Amazon (Oct 2026) | Ceiling | Result |
|---|---|---|---|
| Total interest-bearing debt ÷ market cap | 3.03% ($81.1B interest-bearing debt on ~$2.67T market cap) | < ~33% | PASS |
| Cash + short-term investments ÷ market cap | 4.60% ($123.0B cash + marketable securities on ~$2.67T market cap) | < ~33% | PASS |
| Non-compliant income ÷ total revenue | 0.61% ($4.38B interest income on $716.9B FY2025 revenue) | < 5% | PASS |
Figures: FY2025 10-K (year ended December 31, 2025, filed February 6, 2026) for revenue ($716.9B), debt, and cash; market data September 30, 2026 (~$2.67T USD market cap at $249.15/share on 10.731B shares outstanding). Debt = long-term debt ($65.6B) + current portion ($2.7B) + short-term borrowings ($0.5B) + finance leases ($12.3B). Cash = cash and equivalents ($86.8B) + marketable securities ($36.2B).
Purification
Amazon pays no dividend — its 10-K reports no dividends paid — so dividend purification does not apply. If you hold the stock, the only non-compliant income to consider is the company’s own interest income (0.61% of revenue), which the 5% income screen measures.
What could change the screener
- Debt-funded logistics and AWS build-out. At 3.03%, Amazon has large headroom — but sustained heavy borrowing for fulfillment centers and data centers would be worth re-checking.
- Rising interest income. Currently 0.61%; a much larger cash-and-securities pile earning interest would show up in the 5% income screen first.
- Financial-services expansion. If lending or other financial services ever became a reported segment of meaningful size, the business-activity screen would need re-examination.
We re-screen on a quarterly cadence — the screener above reflects the latest annual report and October 2026 market data.
How Canadians buy it
Amazon trades only on the NASDAQ as AMZN — there is no TSX listing, so you buy in USD. To convert cheaply, use Norbert’s gambit on Questrade rather than paying a broker’s conversion spread. AMZN is available through Questrade and Wealthsimple’s self-directed accounts, and it can be held in a TFSA, RRSP, or FHSA — all wrappers are neutral to Shariah compliance. See our Questrade vs Wealthsimple comparison for the practical differences.
FAQ
Is Amazon halal to invest in?
As of October 2026: yes, it passes Shariah screening — halal business, 3.03% debt ratio, 0.61% interest income. This is a screening result, not a religious ruling: scholars differ and financials change every quarter.
Amazon offers credit cards — doesn’t that make it a financial company?
No. Amazon’s cards are co-branded: the 10-K discloses revenue from “co-branded credit card agreements,” and the lending bank is the issuer, not Amazon. Amazon is not the lender and is not classified as a financial company.
Do I need to purify anything on Amazon stock?
Amazon pays no dividend, so there is nothing to purify for dividend holders. The company’s own interest income (0.61% of revenue) is what the 5% income screen measures, and it clears comfortably.
What if Amazon becomes non-compliant after I buy?
The common guidance: sell the holding (scholars differ on timing when it’s at a loss — ask a qualified scholar), purify the non-compliant share of any dividends received, and don’t offset other gains against it. Re-screen quarterly; we’ll update this page when the numbers move.
Screened with our two-gate Shariah screening methodology (business-activity gate, then AAOIFI-style financial ratios).