Is Hallador Energy (HNRG) stock Halal?

Hallador Energy is a prominent player in the energy sector, primarily focused on the production and sale of coal. The company operates primarily through its Sunrise Coal subsidiary, which engages in mining activities in the Illinois Basin, one of the most significant coal-producing regions in the United States. Hallador Energy's primary function is to supply high-quality coal to electric utilities, which use it for power generation. Before any of that matters to a Muslim investor, one question comes first: is Hallador Energy stock Halal?

Is Hallador Energy Shariah compliant?

For a resources company like Hallador Energy, AAOIFI Shariah Standard No. 21 has little quarrel with the product; the scrutiny falls on the financing. Heavy machinery and long project cycles are usually funded with debt, and the standard tolerates interest bearing borrowing only below 30% of market capitalisation.

Does Hallador Energy pass the business activity test?

Yes. In the September 2026 screening Hallador Energy holds an overall PASS, which a stock only earns when its core business clears the activity screen. The activity itself, extracting and selling resources, raises no Shariah objection; the scrutiny belongs to the financing.

Is Hallador Energy's income Halal?

Yes, within AAOIFI's tolerance. Hallador Energy's income from non-permissible sources stays below 5% of revenue in the September 2026 screening, and the small impure portion is handled through purification: the factor of 99.86% tells holders of HNRG what share of each dividend to keep and what remainder to donate to charity.

Does Hallador Energy 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. Because the caps move with the share price, our Shariah Supervisory Board has HNRG re-screened every month, and the result above always shows the latest verdict.

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 four screens? Read AAOIFI Standards Explained: What Makes a Stock Halal?