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Is Calcom Vision Ltd (517236) Halal and Shariah Compliant?

517236
Consumer Durables
Consumer Electronics

Current Price

₹76.4
-5.79%
About Company

Incorporated in 1969, Calcom Vision Ltd manufact

Pros
  • Debtor days have improved from 84.0 to 47.6 days.
Cons
  • Though the company is reporting repeated profits, it is not paying out dividend
  • Company has low interest coverage ratio.

Analysis Locked

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Shariah Compliance Analysis of Calcom Vision Ltd

When navigating the Indian stock market, ethical investors constantly seek to align their portfolios with Islamic finance principles. A frequent question we receive is whether Calcom Vision Ltd (517236) is Halal and Shariah compliant. To accurately determine the Shariah compliance status of Calcom Vision Ltd, we must conduct a comprehensive quantitative and qualitative analysis of both its core business operations and its underlying financial health.

Business Sector Screening for 517236

The very first and most critical step in Halal stock screening is ensuring that the primary business activities of Calcom Vision Ltd do not violate Islamic law. Companies heavily involved in prohibited (Haraam) sectors like conventional banking, alcohol, gambling, and adult entertainment are strictly excluded. If Calcom Vision Ltd derives its core revenue from permissible (Halal) activities, it successfully advances to the financial ratio analysis phase.

Financial Ratio Analysis

Even if a prominent company like Calcom Vision Ltd operates entirely within a Halal sector, it must still pass strict financial screens to guarantee its corporate practices align with Shariah principles.

  • Debt to Total Assets: The interest-bearing debt of Calcom Vision Ltd must not exceed the universally accepted threshold (typically 30% or 33%).
  • Illiquid to Total Assets: Calcom Vision Ltd must maintain a sufficient percentage of tangible, illiquid assets in its portfolio.
  • Impermissible Income: Any incidental non-compliant revenue (like interest) must strictly remain below 5% of total gross revenue.

Dividend Purification for Calcom Vision Ltd

If Calcom Vision Ltd (517236) passes both the sector screens and strict financial tests, it is classified as a Halal stock. However, any incidental impermissible income earned by the company must be cleansed. Investors holding 517236 are required to calculate their dividend purification ratio and donate that exact portion to charity, with no expectation of spiritual reward (Sawab), purifying their Halal earnings.

By utilizing our advanced Halal stock screener platform, you can effortlessly track the live Shariah compliance status of Calcom Vision Ltd (517236), view historical compliance trends, and access precise dividend purification calculations. Make informed, ethical investment decisions with confidence.

⚠️ Disclaimer & Research Notice: This analysis is for informational and reference purposes only. It is not financial advice, and we are not responsible for any financial losses or damages incurred. Always do your own research (DYOR) and consult with a qualified Shariah advisor or financial planner before making any investment decisions.