ELAB
Quality Rating
ELAB, operating in its industry, exhibits significant Shariah compliance challenges primarily due to a high liquidity ratio of 39.44% exceeding standard thresholds and an interest income ratio of 87.13% far above permissible limits, necessitating substantial purification. While debt levels are at 0% and non-permissible business income is estimated at 0%, the financial structure raises concerns about riba exposure. The company is excluded from all major Shariah indices, leading to a non-compliant overall status. ESG factors show low risk with positive alignment in governance and social responsibility, but financial metrics dominate the assessment. Investors are advised to monitor for business model shifts and consult scholars for personalized rulings.
Purification Required
Significant purification required - exercise caution
Index Inclusion
Excluded from all major Shariah indices: S&P Dow Jones, MSCI Islamic, FTSE Shariah, and DJIM.
Key Compliance Considerations
- Liquidity ratio of 39.44% exceeds AAOIFI's 30% threshold, indicating excessive interest-bearing assets.
- Interest income ratio of 87.13% greatly surpasses the 5% limit across all standards, suggesting high riba involvement.
Debt Ratio
0.0%
Liquidity Ratio
39.4%
Interest Income Ratio
87.1%
Purification
87.13%