Is Empire (EMP.A) stock Halal?

Empire is a prominent player in the Canadian retail landscape, primarily known for its food retailing operations. As the parent company of Sobeys Inc., Empire Co oversees one of the country's largest grocery chains, which includes numerous well-recognized banners such as Sobeys, Safeway, IGA, Foodland, and FreshCo. Before any of that matters to a Muslim investor, one question comes first: is Empire stock Halal?

Is Empire Shariah compliant?

No. In the October 2026 screening Empire (EMP.A) does not pass AAOIFI screening: it fails the non-permissible income screen. Consumer staples companies like Empire face the screening question at the shelf, not the balance sheet: does any revenue come from alcohol, tobacco or other impermissible lines? AAOIFI Shariah Standard No. 21 tolerates such income only below 5% of revenue, with the financial ratios checked behind it.

Does Empire pass the business activity test?

The activity screen is only part of the picture this month: Empire currently fails the non-permissible income screen, so the overall verdict is not compliant regardless of the business itself. The watch item is the product mix: any alcohol, tobacco or similar lines count against the 5% ceiling.

Is Empire's income Halal?

No. Empire's income from impermissible sources currently exceeds AAOIFI's 5% revenue ceiling, which makes the stock non-compliant on this screen regardless of the others. The screen is reassessed monthly, so the status can change when new financial statements arrive.

Does Empire meet AAOIFI's debt and investment ratio requirements?

Yes. Both caps hold this month: interest bearing investments and interest bearing debt each stay below 30% of market capitalisation, measured against a market capitalisation of CA$10.7B (market data as of 1 October 2026). Because the caps move with the share price, our Shariah Supervisory Board has EMP.A re-screened every month, and the result above always shows the latest verdict.

Why do other halal screeners show a different verdict for Empire?

Screeners can disagree without either being wrong. AAOIFI Shariah Standard No. 21, which Tabadulat applies, measures interest bearing debt and investments against market capitalisation with a 30% ceiling. MSCI and FTSE measure them against total assets with a 33% ceiling, and S&P and Dow Jones Islamic use a multi year average of market capitalisation. Data dates differ too, because each provider reads filings and prices on its own schedule. The same company can therefore pass one standard and fail another in the same month. Tabadulat publishes one answer, the AAOIFI result as of October 2026, and re-screens it every month.

Tabadulat is an ADGM regulated brokerage whose license covers Shari'a Compliant Regulated Activities, as the FSRA permission names them. New to the terminology? Gharar and Maysir, Sukuk, Zakat and purification are all explained in plain English.

New to the screening method? Read What is Halal Investing? A Guide to Halal Stocks and Islamic Finance