Canadian Halal Investor.

NYSE Shariah screener · October 2026

Is Avery Dennison Corporation (AVY) Halal?

PASS

Avery Dennison Corporation · NYSE: AVY · Materials

The short answer

Avery Dennison passes all three Shariah gates: it makes labels, packaging materials, and RFID digital-identification products (no interest-based business), carries about $3.69B of interest-bearing debt (28.3% of its ~$13.03 billion market cap), and reports no separately disclosed interest income.

Gate 1 — Business activity: PASS

Gate 1 — business activity: PASS. Avery Dennison Corporation, per its investor materials and FY2025 reporting, describes itself as a global materials science and digital identification solutions company, providing branding and information solutions that optimize labor and supply chain efficiency, reduce waste, and advance sustainability and transparency.

The company reports two segments — Materials Group (pressure-sensitive label materials, films, performance tapes, adhesives; FY2025 sales about $6.09B) and Solutions Group (brand and price tickets, tags, labels including RFID inlays, and related services; FY2025 sales about $2.76B). It is not an interest-based lender and is not involved in tobacco, gambling, pork, conventional banking or insurance, weapons, or adult entertainment. Labels are sold into many end markets including beverages, but that is incidental to a materials business, not a core haram revenue stream. The business passes gate 1.

Gate 2 — Debt and cash: PASS

Gate 2 — interest-bearing debt: PASS (28.3%, ceiling 33%). Avery Dennison's Q2 2026 earnings release confirms total debt of $3.68 billion at June 30, 2026 — short-term debt of $500.5 million plus long-term debt of $3,185 million, totaling about $3,685.5 million. The Q1 2026 Form 10-Q's comparative balance sheet column puts total debt at $3,732.9 million at December 31, 2025.

The debt lines include finance leases; operating leases (about $236.9 million total at December 31, 2025) sit in other liabilities and are excluded as they are not part of the interest-bearing debt lines. $3,685.5 million against a market capitalization of about $13.03 billion (Finnhub, October 2, 2026; $171.62 at the October 1 close) is about 28.3% — under the 33% ceiling. Cash and cash equivalents of $227.3 million at June 30, 2026 are about 1.7% of market cap; no separate short-term investments line is disclosed.

Gate 3 — Non-compliant income: PASS

Gate 3 — non-compliant income: PASS (0%, ceiling 5%). Avery Dennison's income statement reports no separately disclosed interest income for FY2025 (interest expense was $135.4 million, which does not affect the non-compliant income gate).

Interest income of $0 against FY2025 net sales of $8,855.5 million is 0% — under the 5% ceiling.

Key figures used

Frequently asked questions

What does Avery Dennison do?

Avery Dennison Corporation (NYSE: AVY) is a global materials science and digital identification solutions company. Per its investor materials, it provides branding and information solutions that optimize labor and supply chain efficiency, reduce waste, and advance sustainability and transparency. It reports two segments: Materials Group (pressure-sensitive label materials, films, performance tapes, adhesives - FY2025 sales about $6.09B) and Solutions Group (brand and price tickets, tags, labels including RFID inlays, and related services - FY2025 sales about $2.76B). FY2025 net sales were $8,855.5 million.

Is Avery Dennison's business Shariah compliant?

Avery Dennison makes labels, packaging materials, and RFID digital-identification products - it is not an interest-based lender and is not involved in tobacco, gambling, pork, conventional banking or insurance, weapons, or adult entertainment. Its labels are sold into many end markets including beverages, but that is incidental to a materials business, not a core haram revenue stream. Assessed on the filed numbers, the business passes this screener's first gate.

How much interest-bearing debt does Avery Dennison have?

Avery Dennison's Q2 2026 earnings release confirms total debt of $3.68 billion at June 30, 2026: short-term debt of $500.5 million plus long-term debt of $3,185 million, totaling about $3,685.5 million. The Q1 2026 Form 10-Q's comparative column puts total debt at $3,732.9 million at December 31, 2025. The debt lines include finance leases; operating leases (about $236.9 million total at December 31, 2025) sit in other liabilities and are excluded. $3,685.5 million against a market capitalization of about $13.03 billion (Finnhub, October 2, 2026; $171.62 at the October 1 close) is about 28.3% - under the 33% ceiling. Cash and cash equivalents of $227.3 million at June 30, 2026 are about 1.7% of market cap; no separate short-term investments line is disclosed.

How much interest income does Avery Dennison earn?

Avery Dennison's income statement reports no separately disclosed interest income for FY2025 - interest expense was $135.4 million, which does not affect the non-compliant income gate. Interest income of $0 against FY2025 net sales of $8,855.5 million is 0% - under the 5% ceiling.

What do third-party Shariah screeners say about Avery Dennison?

ShariaPortfolio publishes an AVY page rating it Shariah Compliant, passing 3 of its 5 standards. Zoya publishes an AVY page, but the compliance status field renders blank in the fetchable page text, so its current rating could not be verified from public sources. I could not verify a Musaffa rating page for AVY (US) - searches surfaced only AV.MI, Antares Vision SpA of Italy, a different company. Third-party screeners apply different assumptions and update on different schedules, and their results can change when new financial statements are published - always check the latest screening before investing.

Sources

Screened 2026-10-02 from published company figures and market data. Figures change; this page is educational, not financial advice and not a religious ruling.

Screened with our two-gate Shariah screening methodology (business-activity gate, then AAOIFI-style financial ratios).