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Halal Stocks: Best Halal Shares in India (2026)

The Indian stock market includes many types of participants, each with a different way of choosing stocks. Some look at growth potential, some focus on dividends, and some prefer companies that align with specific ethical or faith-based principles. Halal stocks fit into this last category and they refer to shares of companies that meet Shariah-based business and financial standards. Let's learn more about what halal stocks are, how to identify them, selection criteria and more in this article.
Table of Contents
  • Best Halal Stocks in India (2025)
    • Top Halal Stocks in 2025
    • How to Invest in Halal Stocks?
    • Overview of Best Halal Stocks in India
    • What are Halal Stocks?
    • What is Shariah Compliance?
    • What Makes a Stock Halal?
    • Key Principles of Shariah Investments
    • How to Identify the Best Halal Stocks in India?
    • Why Invest in Halal Stocks?
    • Who Should Invest in Halal Stocks?
    • Advantages of Investing in Halal Stocks
    • Factors to Consider Before Investing in Halal Stocks
    • What Are Halal Mutual Funds?
    • Conclusion
    • Frequently Asked Questions on Halal Stocks

Top Halal Stocks in India

Halal Investing Stock Screener

Halal Investing Stock Screener: Analyse & Filter Indian Stocks on Tickertape

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NameStocks (8)↓↓Sub-SectorSub-Sector↓↓Market CapMarket Cap↓↓Close PriceClose Price↓↓PE RatioPE Ratio↓↓1D Return1D Return↓↓1M Return1M Return↓↓6M Return6M Return↓↓1Y Return1Y Return↓↓PB RatioPB Ratio↓↓Return on EquityReturn on Equity↓↓ROCEROCE↓↓Dividend YieldDiv Yield↓↓Debt to EquityDebt to Equity↓↓Volatility vs NiftyVolatility vs Nifty↓
1.Tata Consultancy Services LtdTCSIT Services & ConsultingIT Services & Consulting8,19,135.018,19,135.012,264.002,264.0016.6516.650.800.80-9.86-9.86-27.02-27.02-36.76-36.767.557.5548.1948.1955.4855.484.864.860.100.101.571.57
2.Hindustan Unilever LtdHINDUNILVRFMCG - Household ProductsFMCG - Household Products5,33,874.135,33,874.132,272.202,272.2035.5035.501.051.054.874.87-4.75-4.75-1.92-1.9210.7610.7621.0821.0829.4229.421.831.830.030.031.471.47
3.Infosys LtdINFYIT Services & ConsultingIT Services & Consulting4,52,818.904,52,818.901,119.001,119.0015.3815.382.192.19-14.61-14.61-25.78-25.78-30.63-30.634.854.8531.0731.0739.6339.634.294.290.100.101.821.82
4.Sun Pharmaceutical Industries LtdSUNPHARMAPharmaceuticalsPharmaceuticals4,50,643.094,50,643.091,878.201,878.2041.2341.230.810.8112.8012.806.486.487.947.946.226.2215.6615.6618.9718.970.850.850.030.031.471.47
5.Maruti Suzuki India LtdMARUTIFour WheelersFour Wheelers4,15,671.644,15,671.6413,221.0013,221.0028.3228.321.121.12-0.38-0.38-16.73-16.732.082.084.324.3215.9515.9519.0919.091.061.060.000.001.721.72
6.Adani Enterprises LtdADANIENTCommodities TradingCommodities Trading3,77,449.493,77,449.492,716.002,716.0040.4140.410.110.1124.2324.2310.3210.3211.1711.176.686.6814.1314.1312.9912.990.040.041.631.632.422.42
7.UltraTech Cement LtdULTRACEMCOCementCement3,37,912.663,37,912.6611,487.0011,487.0041.3841.38-1.75-1.75-2.82-2.82-2.47-2.47-3.42-3.424.574.579.009.0012.6412.642.092.090.330.331.631.63
8.HCL Technologies LtdHCLTECHIT Services & ConsultingIT Services & Consulting3,06,455.143,06,455.141,132.601,132.6018.4118.410.770.77-22.31-22.31-29.49-29.49-33.22-33.224.404.4025.2125.2130.0530.054.784.780.090.091.841.84
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Disclaimer: Please note that the above table is for informational purposes only, and is not recommendatory. Please do your own research or consult your financial advisor before investing. The data is derived from Tickertape Stock Screener and is subject to real-time updates.

Selection criteria: Halal companies in India, based on publicly available information and is sroted by market cap.

How to Invest in Halal Stocks?

Investing in halal stocks in India using Tickertape is a straightforward process. Tickertape is a powerful stock analysis and screening tool that helps you make informed investment decisions. Here’s how you can use Tickertape to invest in halal stocks:

  1. Sign Up and Log In: You can create an account on the Tickertape or log in if you already have one.
  2. Use Filters: You can apply over 200 filters to get stocks sorted based on criteria like market cap, P/E ratio.
  3. Analyse Stock Data: Tickertape provides comprehensive data on each stock, including financials, performance metrics, future projections, red flags, and more. You can review this data to assess each company’s health and potential in depth.
  4. Add to Watchlist: You may keep track of potential investments by adding them to your watchlist.
  5. Invest Through Your Broker: Once you’ve decided on a stock, you can place a buy order through your brokerage account linked to Tickertape.

You can stay updated with each of your favourite stocks’ alerts and announcements with Tickertape Alerts. Further, you can analyse your overall portfolio and potential red flags in it by connecting it to Tickertape. Check out detailed analysis of your portfolio now!

Overview of Top Halal Stocks in India

Tata Consultancy Services Ltd

Established in 1968, TCS is a global leader in IT services and consulting. It provides business solutions across various industries and is part of the Tata Group, making it one of India’s largest tech firms.

Infosys Ltd

Founded in 1981, Infosys is a multinational IT consulting company. It offers software development, business process outsourcing, and consulting services. Infosys plays a key role in the global technology industry.

Hindustan Unilever Ltd

Founded in 1933, HUL is one of India’s largest consumer goods companies. It offers products in food, beverages, home care, and personal care. A subsidiary of Unilever, HUL is a well-known household brand in India.

Sun Pharmaceutical Industries Ltd

Founded in 1983, Sun Pharmaceutical has built a strong presence in India and international markets, with operations across more than 100 countries. It is known for its wide portfolio of branded generics, speciality medicines, and complex formulations, with a strong position in areas such as dermatology, cardiology, gastroenterology, and psychiatry

Maruti Suzuki India Ltd

Founded in 1981, Maruti Suzuki is India’s leading automobile manufacturer. Known for producing affordable cars, it is a joint venture between Suzuki Motor Corporation and the Indian government.

What Are Halal Stocks?

A stock is considered halal when the company passes both a business activity screen and a financial ratio screen under a recognised Shariah methodology. This means the company should not be meaningfully involved in prohibited activities, and its balance sheet should not show excessive dependence on interest-based debt, interest income, or impure income. To be considered halal, a company must meet these criteria:

  1. The company should not be involved in non-permissible activities such as alcohol, gambling, tobacco, pork-related products, or conventional interest-based finance.
  2. The company's financials should stay within accepted Shariah limits.
  3. Income from non-compliant sources is usually kept below 5%.
  4. Interest-based debt is generally expected to remain within around 33%.
  5. Cash or interest-bearing securities are also usually kept within around 33%.
  6. Accounts receivable are commonly checked and are generally kept within similar limits, depending on the screening method used.


What Is Shariah Compliance?

Shariah compliance means following Islamic principles in financial and business activities. In the context of stocks, a Shariah-compliant company is one whose core business and financial practices are considered permissible under Islamic law. It means:.

  1. Permissible Business Activity: The company should not be involved in sectors such as alcohol, gambling, tobacco, pork-related products, or conventional interest-based finance.
  2. Acceptable Financial Structure: The company should stay within certain limits for interest-based debt, interest income, cash holdings, and receivables.
  3. Ethical Alignment: The business should operate in a way that is broadly consistent with Islamic ethical standards.

What Makes a Stock Halal?

  1. Business Activity: The company should not be involved in industries that are prohibited under Shariah law, such as tobacco, alcohol, gambling, or products related to pork.
  2. Debt-to-Equity Ratio: The company should not rely heavily on interest-based debt. A common rule is that total debt should not be more than 33% of the company’s total assets.
  3. Income from Non-Compliant Activities: Revenue from non-permissible activities should not make up more than 5% of the company’s total income.
  4. Ethical Practices: The company should follow transparent and ethical business practices, ensuring accountability and integrity in its operations.



    5. How to Identify the Best Halal Stocks in India?

    1. Analyse Core Activities: Check that the company avoids industries prohibited in Islam, such as gambling, alcohol, and conventional banking. Sectors like technology, healthcare, and renewable energy often align with Islamic values.
    2. Check Financial Ratios: Use tools like the Tickertape Stock Screener to verify Shariah compliance. Look for companies with debt under 33% of their market value and non-halal income below 5%.
    3. Refer to Shariah Indices: Use indices like the NIFTY 500 Shariah Index, which lists stocks already verified as Shariah-compliant. This helps make identifying suitable investment options easier.
    4. Evaluate Governance Practices: Look for companies with strong ethical governance and adherence to Environmental, Social, and Governance (ESG) standards, as these align with Shariah values.
    5. Stay Updated: Follow trends in sectors like renewable energy, technology, and healthcare, which often align with Islamic principles, to find promising investment opportunities.

Benefits of Investing in Halal Stocks

Ethical Alignment

Halal stocks allow investors to support businesses that align with their religious values and ethical beliefs. These investments avoid industries like alcohol, gambling, and conventional banking, which are prohibited in Islam.

Shariah Compliance

Investing in Shariah-compliant companies ensures that wealth is earned in an ethical way and follows Islamic principles. This gives peace of mind to investors, knowing their financial activities are in line with their faith.

Focus on Financial Discipline

Shariah screening usually places limits on debt, non-compliant income, and certain investments. This means halal stocks often come from companies with relatively cleaner financial structures.

Different Sector Mix

Halal stock lists usually have higher representation from sectors such as IT, pharma, consumer goods, automobiles, and industrials. This creates a market basket that looks different from broader benchmark indices.

Regular Compliance Review

Many halal stock lists and Shariah indices are reviewed at regular intervals. This helps keep the list updated based on changes in a company's business activities, debt levels, and income sources over time.

Risks of Investing in Halal Stocks

Limited Investment Options

There are fewer Shariah-compliant stocks compared to traditional investments. This means investors have fewer companies to choose from, which can make it harder to diversify their portfolio.

Market Risk and Volatility

Halal stocks are still subject to market changes and fluctuations. Even though they follow ethical guidelines, things like economic downturns or industry challenges can still affect their performance.

Strict Financial Criteria

Halal stocks have to meet certain rules, like keeping debt levels low and ensuring non-halal income is minimal. This can limit investment choices, as some potentially good companies may not meet these criteria.

Shariah Compliance Costs

To make sure a company follows Shariah principles, it may need to have its financial practices reviewed by Shariah boards. This process can add extra costs, which may impact the company’s overall performance.

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Factors to Consider Before Investing in Halal Stocks

Shariah Compliance

It’s important to ensure that the company adheres to Shariah principles, which means avoiding activities like alcohol, gambling, and interest-based finance. The company’s income should also align with Islamic guidelines.

Market Conditions and Risk

Like all investments, halal stocks are impacted by market conditions. Understanding the overall market trends, potential risks, and how they affect specific sectors can help investors make informed decisions.

Financial Ratios

Halal stocks often have specific financial criteria, such as maintaining low debt and ensuring a small portion of income comes from non-halal activities. These factors can affect the overall stability and growth potential of the stock.

Governance and Transparency

Ethical governance practices are important for Shariah-compliant companies. Transparency in how the company operates and manages its business ensures it meets the high standards expected of Halal investments.

Shariah Board or Certification

Many Halal stocks are certified by Shariah boards or listed on Shariah-compliant indices, such as the NIFTY Shariah Index. This certification provides confidence that the stock meets the necessary religious and ethical standards.

Conclusion

Halal stocks allow investors to align their investments with Islamic principles while seeking growth in various industries. However, investors should be aware of risks like limited investment options, market volatility, and strict financial criteria. It’s important to carefully analyse each stock to ensure it meets both financial and Shariah standards. To help with this, investors can use tools like Tickertape Stock Screener, which offers detailed analysis with over 200 filters for a more thorough evaluation of halal stocks before making investment decisions..

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Frequently Asked Questions on Halal Stocks

  1. What are halal stocks?

    Halal stocks are shares of companies that comply with Shariah (Islamic) principles, meaning they avoid activities like gambling, alcohol, and interest-based finance. These stocks also follow ethical business practices and maintain a balance between their profits and compliance with Islamic laws.

  2. How do I know if a stock is Shariah-compliant?

    You can check if a stock is Shariah-compliant by referring to resources like the NIFTY Shariah Index, which lists stocks that meet Shariah guidelines. Additionally, many companies undergo certification by Shariah boards that ensure their financial practices align with Islamic principles.

  3. What are the best halal stocks in India?

    As of 2nd April 2026, some of the best halal stocks in India, as per market capitalisation, are:
    1. Tata Consultancy Services Ltd
    2. Infosys Ltd
    3. Hindustan Unilever Ltd
    4. Sun Pharmaceutical Industries Ltd
    5. Maruti Suzuki India Ltd

    Disclaimer: The above halal stock list is for educational purposes only and should not be considered investment advice.

  4. How do I find a list of halal stocks in India?

    Investors can find a list of halal stocks in India using tools like the Tickertape Stock Screener. It allows them to filter and analyse stocks using factors such as debt levels, profitability, valuation ratios, and other relevant financial metrics when reviewing Shariah-compliant stocks. This makes it easier to compare companies in one place and study their financial profile in more detail.

  5. Who can invest in halal stocks?

    Anyone can invest in Halal stocks if they are interested in ethical investing. Halal stocks focus on companies with strong ethical guidelines, appealing to anyone looking to support businesses that prioritise responsible and sustainable practices.

  6. Are halal stocks only for Muslim investors?

    No, halal stocks are based on Shariah principles, but they are not limited to Muslim investors. They may also be tracked by those looking at companies with lower debt levels, defined ethical screens, or businesses that avoid certain sectors.

  7. What sectors are generally excluded from the halal stock list?

    Halal stock lists usually exclude sectors such as conventional banking, interest-based financial services, alcohol, tobacco, gambling, pork-related businesses, and certain entertainment segments. Because of this, the sector mix of halal stocks often differs from the broader market.

  8. What financial ratios are used in Shariah stock screening?

    Shariah stock screening usually looks at financial ratios related to interest-bearing debt, non-compliant income, and non-compliant investments. Common standards generally keep debt below 33%, non-compliant income below 5% of total revenue, and non-compliant investments below 33% of total assets.

  9. Are there any halal penny stocks in India?

    India does have some halal penny stocks or low-priced Shariah-compliant stocks, but the list is limited and can change over time based on price movement and compliance reviews. Most halal stocks in India are larger companies, while penny stocks in this segment are fewer and may vary depending on the screening method used.

Disclaimer: This article is for informational purposes only. The content of the article including securities/investment products mentioned if any, should not in any manner be construed as an investment advice, recommendation, offer, solicitation to buy/hold/sell any securities/investment products. The securities quoted if any, are for illustration only and are not recommendatory. Investment in securities market are subject to market risks. Read all the related documents carefully before investing. Please consult a SEBI-registered financial advisor before investing.