NASDAQ Shariah screener · October 2026
Is Seagate Technology Holdings plc (STX) Halal?
Seagate Technology Holdings plc · NASDAQ: STX · Technology
The short answer
Yes - Seagate Technology Holdings plc (STX) passes this Shariah stock screen at all three gates. Seagate, the data-storage hardware maker, earns its revenue from hard disk drives, SSDs, and storage systems for data-center and edge markets (FY2026 revenue $12,195M) - none of which involve alcohol, tobacco, gambling, weapons, adult entertainment, pork, or conventional finance. The financial ratios pass comfortably: total debt of $3,565M is about 1.72% of its ~$207.71B market cap ($945.57/share, October 1, 2026), below the ~33% ceiling, and interest income of $30M is about 0.25% of revenue, below the 5% ceiling. Zoya independently rates Seagate Shariah-compliant. This is a factual screen, not a religious ruling - consult a qualified scholar for personal rulings.
Gate 1 — Business activity: PASS
Seagate Technology Holdings plc (NASDAQ: STX) is a leading provider of mass-capacity data storage. Per its Form 10-K for the fiscal year ended July 3, 2026 (filed August 4, 2026), its principal products are hard disk drives (HDDs), plus solid-state drives (SSDs) and storage systems, serving two end markets: Data Center (cloud and hyperscale customers, about 80% of revenue) and Edge IoT. FY2026 was a record year: revenue of $12,195M (vs $9,097M in FY2025), net income of $3.18B, diluted EPS of $13.90, and $3.1B of free cash flow. Business-screen implication (factual): data-storage hardware only - no alcohol, tobacco, gambling, weapons, adult entertainment, pork, or conventional-finance segments are disclosed. Context only: one customer accounted for 14% of FY2026 revenue (concentration risk). Gate 1 passes. Facts only.
Gate 2 — Debt and cash: PASS
Per Seagate's Form 10-K for the fiscal year ended July 3, 2026, total debt was $3,565M - current portion of long-term debt $185M plus long-term debt less current portion $3,380M (all net of debt issuance costs; the company retired $1.4B of debt in FY2026). Against a market cap of about $207.71B ($945.57 per share, October 1, 2026, per Finnhub; the 10-K's 226,644,518 shares outstanding at July 31, 2026 implies about $214.3B), debt / market cap is about 1.72% - far below the ~33% ceiling. Cash and cash equivalents of $1,704M is about 0.8% of market cap, with about $1.7B of liquidity plus a $1.3B undrawn revolver. Gate 2 passes. Facts only.
Gate 3 — Non-compliant income: PASS
Seagate's Form 10-K for the fiscal year ended July 3, 2026 reports a consolidated income-statement line item of 'Interest income' of $30M (FY2025: $25M; FY2024: $15M); the MD&A notes results were 'partially offset by $30 million of interest income.' $30M / FY2026 revenue of $12,195M = about 0.25% of revenue - below the 5% non-compliant income ceiling. Third-party screener Zoya independently reports the same $30M figure at 0.25% of revenue. Gate 3 passes. Facts only.
Key figures used
- Business: mass-capacity data storage - HDDs, SSDs, storage systems; Data Center (~80% of revenue), Edge IoT; record FY2026
- FY2026 (year ended Jul 3, 2026): revenue $12,195M; net income $3.18B; diluted EPS $13.90; free cash flow $3.1B; interest income $30M
- Debt: $3,565M total (current portion $185M + long-term $3,380M, FY2026 10-K; retired $1.4B in FY2026) - about 1.72% of ~$207.71B market cap ($945.57, Oct 1, 2026), far below the ~33% ceiling
- Cash: $1,704M cash and cash equivalents (~0.8% of market cap); ~$1.7B liquidity plus $1.3B undrawn revolver
- Interest income: $30M - about 0.25% of $12,195M revenue, below the 5% ceiling (Zoya reports the same figure)
- No haram segments: data-storage hardware only - no alcohol, tobacco, gambling, weapons, adult entertainment, pork, or conventional finance
- Third-party screeners: Zoya rates Shariah-compliant (Sep 2026); Musaffa - coverage unverified; ShariaPortfolio - no coverage found
- Material: Q4 FY2026 revenue $3.6B, GAAP EPS $5.58; Q1 FY2027 EPS guidance $7.10-$7.50; quarterly dividend $0.74/share payable Oct 7, 2026; one customer = 14% of revenue; BIS export-control settlement (2023) still in force
- Listing: NASDAQ Global Select Market (ticker STX), confirmed by 10-K cover and live quotes Oct 1-2, 2026 - no delisting
Frequently asked questions
What does Seagate do?
Seagate Technology Holdings plc (NASDAQ: STX) is a leading provider of mass-capacity data storage. Per its Form 10-K for the fiscal year ended July 3, 2026, its principal products are hard disk drives (HDDs), plus solid-state drives (SSDs) and storage systems. It serves two end markets: Data Center (cloud and hyperscale customers, about 80% of revenue) and Edge IoT. In FY2026 it reported revenue of $12,195M, net income of $3.18B, and free cash flow of $3.1B.
Why does Seagate pass this Shariah stock screen?
Seagate passes all three gates of this Shariah stock screen. Gate 1 (business activity): data-storage hardware (HDDs, SSDs, storage systems) involves no alcohol, tobacco, gambling, weapons, adult entertainment, pork, or conventional finance - a clean business. Gate 2 (debt): total debt of $3,565M is about 1.72% of its ~$207.71B market cap, below the ~33% ceiling. Gate 3 (non-compliant income): interest income of $30M is about 0.25% of FY2026 revenue ($12,195M), below the 5% ceiling. Result: PASS. This is a factual screen, not a religious ruling - consult a qualified scholar for personal rulings.
What is Seagate's interest-bearing debt ratio?
Per Seagate's Form 10-K for the fiscal year ended July 3, 2026 (filed August 4, 2026), total debt was $3,565M - current portion of long-term debt $185M plus long-term debt less current portion $3,380M (all net of debt issuance costs; the company retired $1.4B of debt in FY2026). Against a market cap of about $207.71B ($945.57 per share, October 1, 2026, per Finnhub; 226,644,518 shares outstanding at July 31, 2026 implies about $214.3B), debt / market cap is about 1.72% - far below the ~33% ceiling. Cash and cash equivalents of $1,704M is about 0.8% of market cap, with about $1.7B of liquidity plus a $1.3B undrawn revolver. Gate 2 passes. Facts only.
How much interest income does Seagate earn?
Seagate's Form 10-K for the fiscal year ended July 3, 2026 reports a consolidated income-statement line item of 'Interest income' of $30M (FY2025: $25M; FY2024: $15M); the MD&A notes results were 'partially offset by $30 million of interest income.' $30M / FY2026 revenue of $12,195M = about 0.25% of revenue, below the 5% non-compliant income ceiling. Third-party screener Zoya independently reports the same $30M figure at 0.25% of revenue. Gate 3 passes. Facts only.
Do Zoya, Musaffa, or ShariaPortfolio cover Seagate?
Zoya covers Seagate at zoya.finance/stocks/stx (updated September 2026) and rates it Shariah-compliant under AAOIFI guidelines, citing revenue of $12,195,000,000 and interest income of $30,000,000 (0.25%). Musaffa: a Musaffa page for STX could not be located via search - honestly reported as coverage unverified, not invented. ShariaPortfolio: no Seagate coverage was found - honestly reported as no coverage found, not invented.
Sources
- Seagate Form 10-K for fiscal year ended July 3, 2026 (filed Aug 4, 2026): cover (STX, The NASDAQ Global Select Market); principal products - HDDs, SSDs, storage systems; revenue $12,195M; 'Interest income' $30M; debt $3,565M ($185M current + $3,380M LT); cash $1,704M; 226,644,518 shares outstanding (Jul 31, 2026)
- Zoya Seagate stock page (Sep 2026): STX is Shariah-compliant under AAOIFI guidelines; quotes revenue $12,195,000,000 and interest income $30,000,000 (0.25%)
- Finnhub STX live market data (Oct 2, 2026): NASDAQ (XNAS), price ~$945.57 - live quote, no delisting
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).