Canadian Halal Investor.

NYSE Shariah screener · October 2026

Is Omega Healthcare Investors, Inc. (OHI) Halal?

FAIL

Omega Healthcare Investors, Inc. · NYSE: OHI · Real Estate

The short answer

Omega Healthcare Investors fails this screener: its business of leasing skilled-nursing facilities to healthcare operators is permissible and its debt at 28.6% of market cap passes the 33% ceiling, but interest income of $175.1 million - about 14.7% of FY2025 revenue, from conventional loans to healthcare operators - far exceeds the 5% non-compliant income ceiling. This is a factual screen, not a religious ruling - consult a qualified scholar for personal rulings.

Gate 1 — Business activity: PASS

Gate 1 — business activity: PASS. Omega Healthcare Investors, Inc. is a Maryland corporation structured as an umbrella partnership REIT (UPREIT), investing in healthcare-related real estate in the U.S., U.K. and Canada. Per its FY2025 Form 10-K (filed February 9, 2026), it has been listed on the New York Stock Exchange since 1992 and operates as one reportable segment (a second RIDEA Operating segment began in Q2 2026).

Its portfolio consists primarily of skilled nursing facilities (SNFs), assisted living facilities (ALFs, including U.K. care homes), independent living facilities, specialty hospitals/rehabilitation facilities and continuing care retirement communities. Income comes overwhelmingly from leasing these facilities to third-party healthcare operators on long-term triple-net leases (FY2025 rental income: $1,001,965 thousand), plus mortgage/loan financing to operators. Rental income from leasing healthcare facilities is not an interest-based or haram activity. The company discloses no involvement in alcohol, gambling, tobacco or pork. The business passes gate 1; its substantial loan interest income is assessed at the income gate.

Gate 2 — Debt and cash: PASS

Gate 2 — interest-bearing debt: PASS (28.6%, ceiling 33%). Per the June 30, 2026 consolidated balance sheet (Q2 2026 earnings release, consistent with the 10-Q filed July 30, 2026), Omega's interest-bearing debt is $4,024.6 million: $6.0 million outstanding on its $2 billion revolving credit facility plus $4,018,608 thousand of senior notes and other unsecured borrowings, net. Accrued expenses and other liabilities ($347,860 thousand) are excluded — they are not interest-bearing debt.

$4,024.6 million against a market capitalization of about $14.08 billion (Finnhub, October 2, 2026; current price $45.23) is 28.6%, under the 33% ceiling — but with only about 4.4 points of headroom. Cash and cash equivalents of $39,036 thousand represent about 0.3% of market cap. Management disclosed leverage of 3.3x and only $6 million drawn on the revolver, with no major debt maturity until April 2027.

Gate 3 — Non-compliant income: FAIL

Gate 3 — non-compliant income: FAIL (14.7%, ceiling 5%). Omega's FY2025 Form 10-K separately discloses interest income in its Consolidated Statements of Operations: "Interest income 175,112" (in thousands) against "Total revenues 1,190,099" (in thousands) — about 14.7% of revenue, well above the 5% ceiling.

This interest income is earned on its real estate loans receivable ($1,380,949 thousand at December 31, 2025) and non-real estate loans receivable ($330,322 thousand) — conventional interest-bearing loans to healthcare operators at rates around 10–11.4%. Q2 2026 confirms the pattern: $35,723 thousand of real estate loan interest plus $11,033 thousand of non-real estate loan interest, about 14.2% of quarterly revenue. The verified, separately disclosed interest income exceeds the 5% ceiling, so the stock fails at this gate.

Key figures used

Frequently asked questions

What does Omega Healthcare Investors do?

Omega Healthcare Investors, Inc. (NYSE: OHI) is a healthcare real estate investment trust headquartered in Hunt Valley, Maryland, and listed on the New York Stock Exchange since 1992. Per its FY2025 Form 10-K, it invests in healthcare-related real estate in the U.S., U.K. and Canada as a single reportable segment, structured as an umbrella partnership REIT (UPREIT). Its portfolio consists primarily of skilled nursing facilities (SNFs), assisted living facilities (ALFs, including U.K. care homes), independent living facilities, specialty hospitals and rehabilitation facilities, and continuing care retirement communities. It generates income mainly by leasing these facilities to third-party healthcare operators on long-term triple-net leases, and also by providing mortgage/loan financing to operators. In Q2 2026 it reported total revenues of $328.2 million and began reporting a second segment, the RIDEA Operating Portfolio, alongside its triple-net business.

Is Omega Healthcare Investors' business Shariah compliant?

Omega's core business is owning and leasing skilled-nursing and long-term-care facilities to healthcare operators - a property-rental business, not interest-based lending, gambling, alcohol, tobacco or pork. It does earn substantial interest income from its real estate and non-real estate loan investments (about 14.7% of FY2025 revenue), but the underlying business activity itself is not a haram activity, so the business passes this screener's first gate. Note the company discloses significant mortgage/loan financing activity alongside its leases - that financing income is assessed under the income gate, not the business gate. This is a factual screen, not a religious ruling - consult a qualified scholar for personal rulings.

How much interest-bearing debt does Omega Healthcare Investors have?

Omega's interest-bearing debt at June 30, 2026 (per its Q2 2026 earnings release financial statements, matching its 10-Q filed July 30, 2026) was $4,024.6 million: $6.0 million drawn on its $2 billion revolving credit facility plus $4,018.6 million of senior notes and other unsecured borrowings, net. Accrued expenses and other liabilities ($347.9 million) are excluded as they are not interest-bearing debt. Against a market capitalization of about $14.08 billion (Finnhub, October 2, 2026), that is 28.6% - under the 33% ceiling, so the debt gate passes, though with only about 4.4 percentage points of headroom. Debt fell from $4,256.0 million at December 31, 2025, partly because Omega redeemed its $600 million 5.250% senior notes in October 2025 and issued $600 million of senior notes due 2030 in June 2025.

How much interest income does Omega Healthcare Investors earn?

Omega separately discloses interest income in its income statements, and it is large: $175,112 thousand in FY2025 against total revenues of $1,190,099 thousand (FY2025 Form 10-K, Consolidated Statements of Operations) - about 14.7% of revenue, well over the 5% non-compliant income ceiling. This interest comes from its real estate loans receivable ($1,380.9 million at December 31, 2025) and non-real estate loans receivable ($330.3 million), which fund operator loans at rates around 10-11.4%. In Q2 2026 the split was $35,723 thousand of real estate loan interest plus $11,033 thousand of non-real estate loan interest, or about 14.2% of quarterly revenue. Because the verified interest income figure exceeds the 5% ceiling, Omega fails this screener at the income gate.

What do third-party Shariah screeners say about Omega Healthcare Investors?

Zoya publishes an Omega Healthcare Investors (OHI) page and currently flags the stock as not Shariah-compliant, citing FY2025 interest income of $175,112,000 - about 14.6% of revenue per its page - which aligns with this screen's finding. Musaffa also covers OHI and classifies it as not halal as of October 2026 under its AAOIFI methodology. I could not verify a ShariaPortfolio (SP Screener) rating for OHI - its site offers no public per-stock page and requires an account/app, so no rating from it could be confirmed. 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).