RIVN
Quality Rating
Rivian Automotive Inc. (RIVN), operating in its industry, is screened for Shariah compliance, revealing non-compliance driven by financial ratios exceeding thresholds in debt and liquidity metrics. The core business of electric vehicle manufacturing is permissible, but high leverage from growth financing leads to exclusion from major Shariah indices. Minor interest income requires purification, while non-permissible income is negligible. Overall, the stock presents compliance risks but potential for improvement with debt management.
Purification Required
Minimal purification needed for dividend income
Index Inclusion
Excluded from all major Shariah-compliant indices (S&P, MSCI, FTSE, DJIM).
Key Compliance Considerations
- Debt ratio: 36.43% exceeds thresholds (AAOIFI 30%, MSCI/SP 33%)
- Liquidity ratio: 43.59% exceeds thresholds (AAOIFI 30%, MSCI/SP 33%)
- Interest income ratio: 0.65% compliant, but historical highs noted
Debt Ratio
36.4%
Liquidity Ratio
43.6%
Interest Income Ratio
0.0%
Purification
0.65%