Is Hormel Foods Corp. HRL stock halal to invest in?

No, as of August 2026, Hormel Foods Corp. stock (HRL) is not currently classified as a Shariah compliant stock. This verdict follows the screening methodology of AAOIFI (the Accounting and Auditing Organization for Islamic Financial Institutions), whose Shariah Standard No. 21 is the leading global benchmark for screening halal stocks. To qualify as halal under this standard, a company must keep non-permissible income below 5% of total revenue, keep both interest-bearing investments and interest-bearing debt below 30% of market capitalisation, and have no impermissible preference share structure. Hormel Foods Corp. currently does not meet the threshold for the non-permissible income screen. Because screenings are refreshed monthly as new financial reports are published, a non-compliant stock can regain compliant status if its financial structure changes. You can track the latest status of Hormel Foods Corp. and discover Shariah compliant alternatives among the halal stocks in the Tabadulat app.

How often is Hormel Foods Corp. HRL reviewed for Shariah compliance?

Tabadulat reviews Hormel Foods Corp. HRL for Shariah compliance every month. Each review applies the AAOIFI Shariah Standard No. 21 methodology, screening the company's business activities, non-permissible income, interest-bearing investments, interest-bearing debt, and preference shares, against the company's latest available financial data. The process operates under the direct supervision of Tabadulat's dedicated Shariah Supervisory Board of Islamic finance scholars. Because compliance depends on financial ratios that move with market capitalisation and reported results, a stock's status can change from one review to the next. Monthly screening ensures the status shown for Hormel Foods Corp. reflects current financial data rather than an outdated assessment, and Tabadulat app users are notified if a holding in their portfolio becomes non-compliant.

Does Hormel Foods Corp. HRL pass the AAOIFI Non Permissible Income criteria?

No, as of August 2026, Hormel Foods Corp. stock (HRL) does not pass the AAOIFI non-permissible income screen. Under AAOIFI Shariah Standard No. 21, income from impermissible sources (such as interest or riba, conventional financial services, alcohol, gambling, or tobacco) must remain below 5% of a company's total revenue. Hormel Foods Corp.'s income from non-permissible sources currently exceeds this 5% ceiling, which makes the stock non-compliant on this criterion regardless of how it performs on the other screens. The screen is reassessed monthly, so the status can change when the company releases new financial statements.

Does Hormel Foods Corp. HRL pass the AAOIFI Interest Bearing Investments criteria?

Yes, as of August 2026, Hormel Foods Corp. stock (HRL) passes the AAOIFI interest-bearing investments screen. Under AAOIFI Shariah Standard No. 21, the cash a company places in interest-earning instruments (such as conventional deposits, bonds, treasury bills and money-market funds) must remain below 30% of its market capitalisation. This limit ensures shareholders are not materially profiting from riba (interest). Hormel Foods Corp.'s interest-bearing investments are currently within the 30% threshold. Because the ratio is measured against market capitalisation, it can move with the share price as well as the balance sheet, which is why Tabadulat rescreens the stock every month.

Does Hormel Foods Corp. HRL pass the AAOIFI Interest Bearing Debt criteria?

Yes, as of August 2026, Hormel Foods Corp. stock (HRL) passes the AAOIFI interest-bearing debt screen. Under AAOIFI Shariah Standard No. 21, a company's borrowings that accrue interest (conventional bank loans, bonds and similar riba-based financing) must remain below 30% of its market capitalisation. This cap limits shareholders' exposure to interest-based leverage. Hormel Foods Corp.'s interest-bearing debt is currently within the 30% threshold. Because market capitalisation changes daily, a company's debt ratio can drift toward or away from the limit even without new borrowing, which is why this screen is reassessed every month.

What is the dividend purification factor for Hormel Foods Corp. HRL stock?

Hormel Foods Corp. (HRL) is currently classified as not Shariah compliant, so no dividend purification factor applies, because purification factors are calculated only for stocks that pass the AAOIFI screens. Purification (tazkiyah) is the practice of donating to charity the small portion of dividend income that stems from incidental non-permissible sources, such as interest earned on a compliant company's cash deposits. For non-compliant stocks the issue is not purification but eligibility: under AAOIFI Shariah Standard No. 21 the stock does not currently qualify as a halal investment. If Hormel Foods Corp. returns to compliance in a future monthly screening, its purification factor will be published alongside its updated status in the Tabadulat app.

Does Hormel Foods Corp. HRL pass the AAOIFI Preference Share screen?

Yes, as of August 2026, Hormel Foods Corp. stock (HRL) passes the AAOIFI preference share screen. AAOIFI Shariah Standard No. 21 prohibits investing in preference shares because they grant holders guaranteed or priority rights to dividends and capital ahead of ordinary shareholders, a structure that conflicts with the Shariah principle that investors should share profit and loss in proportion to their ownership. Hormel Foods Corp. has no impermissible preference share structure affecting its ordinary shares, so the stock is compliant on this criterion. Like all AAOIFI screens, this is verified in each monthly review.

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Hormel Foods Corp.

NYSE

Shariah-Compliant

Not Shariah

HRL

About

Hormel Foods Corp.

HRL

Hormel Foods Corporation is a leading global food company specializing in the production and marketing of a wide array of meat and food products. Established in 1891 and headquartered in Austin, Minnesota, Hormel Foods has a robust portfolio with well-known brands such as SPAM, Jennie-O, and Skippy. These products range from refrigerated foods and grocery products to specialty and deli meats, catering to both consumer and commercial markets. Hormel Foods serves diverse industries including retail, foodservice, and international markets, maintaining a strong presence in over 80 countries worldwide. The corporation places significant emphasis on sustainability and innovation, constantly adapting to changing consumer preferences by introducing new products and expanding its plant-based and protein-centric offerings. Hormel's strategic acquisitions and partnerships have solidified its role as a key player in the food industry, ensuring continued growth and influence in the competitive global food market.

Sector:

Consumer Defensive

Industry:

Packaged Foods

Employees:

20000

Website:

https://www.hormelfoods.com

HRL

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Hormel Foods Corp.

About

Hormel Foods Corp.

HRL

Frequently asked questions

Is Hormel Foods Corp. HRL stock halal to invest in?

How often is Hormel Foods Corp. HRL reviewed for Shariah compliance?

Does Hormel Foods Corp. HRL pass the AAOIFI Non Permissible Income criteria?

Does Hormel Foods Corp. HRL pass the AAOIFI Interest Bearing Investments criteria?

Does Hormel Foods Corp. HRL pass the AAOIFI Interest Bearing Debt criteria?

What is the dividend purification factor for Hormel Foods Corp. HRL stock?

Does Hormel Foods Corp. HRL pass the AAOIFI Preference Share screen?

Can I buy Hormel Foods (HRL) stock on Tabadulat?

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