Canadian Halal Investor.

NASDAQ Shariah screener · October 2026

Is Rocket Lab Corporation (RKLB) Halal?

FAIL

Rocket Lab Corporation · NASDAQ: RKLB · Industrials

The short answer

No — Rocket Lab (RKLB) does not pass this Shariah stock screen. Its business — space launch services (the Electron rocket; the reusable Neutron in development) and satellite/space systems, with material US government and national-security contracts including missile-defence interceptor work — has no standard prohibited lines, and it carries almost no debt (about $14.8M of convertible notes and borrowings ≈ 0.04% of its ~$41.69B market cap: 598,350,482 shares at $69.68, Oct 2, 2026). But interest income of $26.6M is about 6.13% of H1 2026 revenue ($434.4M) — above the 5% non-compliant income ceiling. Zoya flags RKLB as questionable (Sep 2026); no Musaffa or ShariaPortfolio rating was found — honestly reported as absent, not invented.

Gate 1 — Business activity: PASS

Rocket Lab Corporation (NASDAQ: RKLB) is an end-to-end space company in two segments: Launch Services — the Electron small-lift orbital rocket (launched from New Zealand and Wallops Island, Virginia), the medium-lift reusable Neutron rocket in development, and HASTE, a suborbital test vehicle derived from Electron — and Space Systems, which builds satellites and spacecraft components (solar arrays, reaction wheels, electric thrusters such as the new Gauss) and operates satellites. US government and national-security work is material: missions for the US Space Force and other agencies, HASTE flights for the Department of Defense, and selection alongside Raytheon to support the Space Based Interceptor missile-defence program. In June 2026 Rocket Lab announced the planned ~$8 billion acquisition of Iridium Communications (expected close mid-2027). None of the disclosed lines fall on this screen's prohibited-activity list (alcohol, gambling, pork, conventional banking/insurance, tobacco, cannabis, adult entertainment) — the defence and missile-defence work is disclosed factually and an independent AAOIFI-based screener (HalalScreener, Oct 1, 2026) passes the company's business activity. Gate 1 passes. Facts only.

Gate 2 — Debt and cash: PASS

At June 30, 2026 the company's interest-bearing debt was about $14.8 million — $13.1 million of convertible senior notes (net) plus $1.7 million of long-term borrowings — per the Q2 2026 10-Q balance sheet. Against a market cap of about $41.69 billion (598,350,482 shares at $69.68, October 2, 2026 quotes), debt ÷ market cap is about 0.04%, far below the ~33% ceiling. Cash and cash equivalents of $2.13 billion plus marketable securities of $258.1 million total about $2.39 billion, about 5.7% of market cap, within the ~33% guideline. Note: the Iridium acquisition (expected close mid-2027) will leave Iridium's $1.775 billion term loan in place with Rocket Lab guaranteeing it, but that debt is not on the filed June 30, 2026 balance sheet. Gate 2 passes. Facts only.

Gate 3 — Non-compliant income: FAIL

Interest income was $26.6 million for the six months ended June 30, 2026 (Q2: $16.5 million), per the Q2 2026 10-Q income statement, against total revenue of $434.4 million (Q2: $234.1 million) — about 6.13% of revenue, above the 5% non-compliant income limit. (Q2 alone: about 7.04%; H1 2025: about 3.46%.) For reference, the full year 2025 ratio was $25.5 million on $601.8 million, about 4.24% — under the ceiling — but this screen uses the most recent filing. Interest income is a separately disclosed line in the primary filing; the interest is earned on the company's large cash balances (about $2.39 billion in cash and marketable securities at June 30, 2026), not from lending. On the reported income-statement basis used here, Gate 3 fails. Facts only.

Key figures used

Frequently asked questions

What does Rocket Lab do?

Rocket Lab (NASDAQ: RKLB) is a space company with two business lines. Launch Services flies the Electron small-lift orbital rocket from New Zealand and Wallops Island, is developing the medium-lift reusable Neutron rocket, and operates HASTE, a suborbital test vehicle based on Electron technology. Space Systems builds satellites and spacecraft components (solar arrays, reaction wheels, satellite thrusters) and provides satellite operations. US government and national-security contracts are material: Rocket Lab flies missions for the US Space Force and other agencies, operates HASTE for the Department of Defense, and was selected with Raytheon to support the Space Based Interceptor program. In June 2026 it announced the planned ~$8 billion acquisition of Iridium Communications (expected close mid-2027), funded by a $1.944 billion equity raise that retired a $3.6 billion bridge facility before it was drawn.

Why does Rocket Lab fail this Shariah stock screen?

Rocket Lab's business has no standard prohibited lines (no alcohol, gambling, pork, conventional banking or insurance, tobacco, cannabis, or adult entertainment) and it carries almost no debt — the failure is on the income gate. For the six months ended June 30, 2026 it reported interest income of $26.6 million against total revenue of $434.4 million, a ratio of about 6.13% — above the ~5% non-compliant income ceiling used in this screen. (Q2 alone: $16.5 million of interest income on $234.1 million of revenue, about 7.04%.) For the full year 2025 the same ratio was $25.5 million on $601.8 million, about 4.24%, under the ceiling — but the screen uses the most recent filing. Note: the company does significant defence work, including support for a missile-defence interceptor program, disclosed factually; it is not on this screen's prohibited-activity list, and an independent AAOIFI-based screener (HalalScreener, Oct 1, 2026) passes its business activity while rating the stock Not Halal on financial ratios. This is a factual screen, not a religious ruling — consult a qualified scholar for personal guidance.

What is Rocket Lab's interest-bearing debt ratio?

At June 30, 2026 Rocket Lab's interest-bearing debt was about $14.8 million: $13.1 million of convertible senior notes (net) plus $1.7 million of long-term borrowings, per the Q2 2026 10-Q balance sheet. Against a market capitalization of about $41.69 billion (598,350,482 shares at $69.68, October 2, 2026), debt divided by market cap is about 0.04%, far below the ~33% ceiling. Cash and equivalents of $2.13 billion plus marketable securities of $258.1 million total about $2.39 billion, about 5.7% of market cap, within the ~33% guideline. The debt picture may change after the Iridium acquisition closes (expected mid-2027): Iridium's $1.775 billion term loan will stay in place with Rocket Lab guaranteeing it. On the filed June 30, 2026 balance sheet, the financial-structure gate passes.

What is Rocket Lab's non-compliant income ratio?

For the six months ended June 30, 2026, Rocket Lab reported interest income of $26,635k (Q2: $16,486k) against total revenue of $434,414k (Q2: $234,066k) — about 6.13% of revenue, above the 5% non-compliant income limit. (Q2 alone was about 7.04%; H1 2025 was $9,228k on $267,067k, about 3.46%.) The 10-Q presents interest income as a separate disclosed line. For context, the full year 2025 ratio was $25,512k on $601,799k, about 4.24% — under the ceiling — but this screen uses the most recent interim filing, on which the income gate fails.

Do Zoya, Musaffa, or ShariaPortfolio cover Rocket Lab?

Zoya covers Rocket Lab (RKLB): as of September 2026 it flags the stock as questionable (not considered halal to invest in), using AAOIFI guidelines and citing FY2025 interest income of $25,512,000 on revenue of $601,799,000 (about 4.24%). No rating or coverage of RKLB was found on Musaffa or ShariaPortfolio — honestly reported as absent, not invented. This page applies the screen directly from the company's filings: the Q2 2026 10-Q (filed August 10, 2026) and the FY2025 10-K.

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).