NYSE Shariah screener · October 2026

Is Prosperity Bancshares, Inc. (PB) Halal?

FAIL

Prosperity Bancshares, Inc. · NYSE: PB · Financials

The short answer

Prosperity Bancshares fails this screener's business-activity gate: it is a conventional Texas community bank (283 banking locations), and interest-based lending is the business itself - total interest income of about 125.6% of revenue. For the record, borrowings of about $2.15 billion are 26.9% of its ~$7.99 billion market cap.

Gate 1 — Business activity: FAIL

Gate 1 — business activity: FAIL. Prosperity Bancshares, Inc., per its FY2025 Form 10-K (fiscal year ended December 31, 2025, filed February 2026; 10-K cover: 'PB — New York Stock Exchange, Inc.'), is a registered financial holding company that 'derives substantially all of its revenues and income from the operation of its bank subsidiary, Prosperity Bank.' The bank operated 283 full-service banking locations across Texas and Oklahoma at December 31, 2025, providing loans, deposits, digital banking, wealth management, and related financial services.

Interest-based lending is the business itself, not an ancillary line: FY2025 net interest income was $1,081,492 thousand and total interest income was $1,570,323 thousand — about 125.6% of total revenue. On July 1, 2026, the company completed the $1.99 billion acquisition of Stellar Bancorp, Inc. (Stellar Bank merged into Prosperity Bank), taking pro forma total assets to about $54.2 billion. A conventional bank fails gate 1 (the same business-gate result as Ally Financial and Webster Financial).

Gate 2 — Debt and cash: PASS

Gate 2 — interest-bearing debt: PASS for the record (26.9%, ceiling 33%) — moot. Prosperity Bancshares' FY2025 Form 10-K balance sheet reports other borrowings of $1,950,000 thousand plus securities sold under repurchase agreements of $201,216 thousand at December 31, 2025 — about $2,151.2 million of interest-bearing borrowings.

$2,151.2 million against a market capitalization of about $7.99 billion (Finnhub, October 2, 2026; NYSE: PB) is about 26.9% — under the 33% ceiling, but moot because the business gate already failed. Customer deposits of $28.48 billion are not counted as debt for this gate.

Gate 3 — Non-compliant income: FAIL

Gate 3 — non-compliant income: FAIL for the record (125.6%, ceiling 5%) — moot. Prosperity Bancshares' FY2025 Form 10-K reports total interest income of $1,570,323 thousand (loans including fees $1,295,474 thousand; securities $230,696 thousand; federal funds sold and other earning assets $44,153 thousand) against total revenue of $1,249,793 thousand — about 125.6%, far over the 5% ceiling.

For a bank, interest is the core revenue, which is exactly why the business gate fails. Zoya's page cites the identical FY2025 figures and flags the stock not Shariah-compliant.

Key figures used

Business: Texas community bank holding company (formed 1983); Prosperity Bank operates 283 full-service banking locations in Texas and Oklahoma (Dec 31, 2025); completed $1.99B Stellar Bancorp acquisition Jul 1, 2026 (pro forma assets ~$54.2B)
Haram assessment: conventional banking core - net interest income $1,081,492K of $1,249,793K total revenue; interest-based lending is the business (same business-gate FAIL as Ally Financial and Webster Financial)
Debt (for the record): other borrowings $1,950,000K + securities sold under repurchase agreements $201,216K = $2,151.2M at Dec 31, 2025 = 26.9% of ~$7.99B market cap (Finnhub, Oct 2, 2026) - under ceiling, moot
Interest income (for the record): $1,570,323K vs $1,249,793K revenue = 125.6% - far over the 5% ceiling; core bank revenue
Market data: NYSE-listed (PB); still listed on NYSE (confirmed October 2, 2026; Finnhub XNYS live quote, no delisting)
Third-party: Zoya flags PB not Shariah-compliant (FY2025 figures cited) - consistent with this FAIL; no verifiable Musaffa or ShariaPortfolio rating found

Frequently asked questions

What does Prosperity Bancshares do?

Prosperity Bancshares, Inc. (NYSE: PB) is a Texas community bank holding company headquartered in Houston (formed in 1983). Per its FY2025 Form 10-K (fiscal year ended December 31, 2025, filed February 2026), it derives substantially all of its revenues and income from its bank subsidiary, Prosperity Bank, which operated 283 full-service banking locations across Texas and Oklahoma at December 31, 2025. On July 1, 2026, it completed the $1.99 billion acquisition of Stellar Bancorp (Stellar Bank merged into Prosperity Bank), taking pro forma total assets to about $54.2 billion.

Is Prosperity Bancshares' business Shariah compliant?

Prosperity Bancshares is a conventional bank holding company - its core business is taking deposits and making commercial and consumer loans, earning the spread between them. Per its FY2025 Form 10-K, net interest income was $1,081,492 thousand of $1,249,793 thousand total revenue, and total interest income was $1,570,323 thousand - about 125.6% of revenue. Interest-based lending is the business itself, not an ancillary line, so it fails this screener's first gate (the same business-gate result as Ally Financial and Webster Financial).

How much interest-bearing debt does Prosperity Bancshares have?

For the record: Prosperity Bancshares' FY2025 Form 10-K balance sheet reports other borrowings of $1,950,000 thousand plus securities sold under repurchase agreements of $201,216 thousand at December 31, 2025 - about $2.15 billion of interest-bearing borrowings. $2,151.2 million against a market capitalization of about $7.99 billion (Finnhub, October 2, 2026; NYSE: PB) is about 26.9% - under the 33% ceiling, but moot because the business gate already failed. (Customer deposits of $28.48 billion are not counted as debt for this gate.)

How much interest income does Prosperity Bancshares earn?

For the record: Prosperity Bancshares' FY2025 Form 10-K reports total interest income of $1,570,323 thousand (loans $1,295,474 thousand, securities $230,696 thousand, federal funds and other earning assets $44,153 thousand) against total revenue of $1,249,793 thousand - about 125.6%, far over the 5% non-compliant income ceiling. For a bank, interest is the core revenue, which is why the business gate fails. Zoya's page cites the identical figures and flags the stock not Shariah-compliant.

What do third-party Shariah screeners say about Prosperity Bancshares?

Zoya publishes a PB page citing the FY2025 figures ($1,570,323,000 interest income against $1,738,188,000 combined revenue, about 90.3%) and flags Prosperity Bancshares as not Shariah-compliant under its AAOIFI methodology - directionally consistent with this screener's FAIL. I could not verify a Musaffa rating page for PB or a ShariaPortfolio rating from public sources. 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).