Is ATS Corporation / ATS Halal?
ATS Corporation (TSX: ATS; also NYSE-listed) is a Cambridge, Ontario industrial automation solutions provider — planning, designing, building and servicing automated manufacturing and assembly systems. Its business passes the screen, but total debt of ~CA$1.39 billion is ~53.0% of its ~CA$2.62 billion market cap — a FAIL, re-checked every quarter.
The two-gate Shariah screen
Every screener on this site runs the same two gates: first, the business must be halal (no conventional insurance, banking, alcohol, gambling, weapons manufacturing, and the like); second, the financial ratios must clear (debt under roughly 33% of market cap, non-compliant income under roughly 5%).
Gate one: the business — passes
ATS plans, designs, builds, commissions and services automated manufacturing and assembly systems — including automation products and test solutions, pre-automation and after-sales services — for the life sciences (automation for medical devices and hand-held/on-body monitoring devices), transportation (assembly/testing of automotive components, primarily for electric vehicles), food & beverage (food processing/packaging, optical sorting), consumer products (personal-care/cosmetics production and packaging) and energy markets, with 65+ manufacturing facilities and 85+ offices globally. No alcohol, pork, gambling, banking or insurance product lines were found. On the defence question: no weapons or defence exposure was found for ATS Corporation — defence-context "ATS" results all belong to other companies (Applied Training Solutions' missile-defence contract, ATSC Virginia's border-technology award, the US Air Force ATSA-I contract). Its verified nuclear work is civil power generation — a CA$60 million contract to supply tooling systems for Bruce Power reactor life-extension refurbishment. Gate one: passes.
Gate two: the ratios — debt gate FAILS, interest income passes
The debt gate fails. As at June 28, 2026 (Q1 FY2027; ATS's fiscal year ends March 31): long-term debt CA$1,234.5 million + current portion CA$0.2 million + bank indebtedness CA$0.9 million + long-term lease liabilities CA$118.4 million + current lease portion CA$36.9 million = total debt about CA$1.39 billion (cash CA$198.9 million; the company's own non-IFRS net debt: CA$1,192.0 million; leverage 2.9× pro forma adjusted EBITDA). Market cap is roughly CA$2.62 billion (CA$26.66 TSX price on September 29, 2026 × about 97.02 million shares outstanding). That puts total debt at ~53.0% of market cap — over the ~33% ceiling, and ~47.1% even excluding leases. The interest-income gate passes: interest income is disclosed as a standalone line (Note 19) — CA$0.5 million in Q1 FY2027 against CA$693.7 million of revenue, about 0.07%, under the ~5% screen. Gate two: debt gate FAILS.
What other screeners say
No Zoya, Musaffa, or ShariaPortfolio rating for ATS Corporation could be verified as of September 2026 — no rating is attributed to any of them. The FAIL here rests on this site's own screening methodology, not on a third-party endorsement.
The bottom line
This screener gives ATS Corporation (TSX: ATS) a FAIL. Its industrial-automation business passes and interest income is negligible (~0.07% of revenue), but total debt of ~CA$1.39 billion is ~53.0% of its ~CA$2.62 billion market cap — far over the ~33% ceiling. Snapshot dated September 29, 2026; re-checked quarterly after earnings — lower leverage or a higher market cap without added debt would change this gate.
The purification angle: with interest income at ~0.07% of revenue, run the purification calculator to estimate any non-compliant share of dividends or gains.
Frequently asked questions
Is ATS Corporation stock halal?
This screener gives ATS Corporation (TSX: ATS) a FAIL. Its business — industrial automation systems for life sciences, transportation, food & beverage, consumer products and energy — passes the business-activity screen, but total debt of about CA$1.39 billion against a market cap of roughly CA$2.62 billion is about 53.0% debt-to-market-cap — over the ~33% ceiling.
What are ATS Corporation's debt and market-cap figures?
As at June 28, 2026 (Q1 FY2027): long-term debt CA$1,234.5 million + current portion CA$0.2 million + bank indebtedness CA$0.9 million + lease liabilities CA$155.3 million = total debt about CA$1.39 billion (cash CA$198.9 million; the company's own non-IFRS net debt: CA$1,192.0 million). Market cap is roughly CA$2.62 billion (CA$26.66 TSX price on September 29, 2026 × about 97.02 million shares). The ratio is about 53.0% — over the ~33% ceiling, and about 47.1% even excluding leases.
Does ATS Corporation earn interest income?
Yes, and it is disclosed as a standalone line — rare for this screener's recent builds. Note 19 to the Q1 FY2027 financial statements reports interest income of CA$0.5 million against CA$693.7 million of revenue — about 0.07%, under the ~5% screen. (Interest expense: CA$19.4 million; interest on lease liabilities: CA$1.8 million.)
Does ATS have defence or weapons exposure?
No weapons or defence exposure was found for ATS Corporation. Defence-context results under the name 'ATS' all belong to other companies — Applied Training Solutions (missile-defence contract), ATSC Virginia (border technology) and the US Air Force ATSA-I contract. ATS Corporation's own verified nuclear work is civil power generation (tooling systems for Bruce Power reactor refurbishment).
What could change ATS Corporation's halal screener?
The FAIL is driven by leverage: ATS would need its debt-to-market-cap ratio down to the ~33% screen, or its market cap up without adding debt. The business gate already passes and interest income is negligible. This screener is a snapshot dated September 29, 2026 and is re-checked quarterly after earnings.