Rakaan Kayali, CFA | Halal Investing

Halal is more than ratios. Which company should we put through the PIF screen next? Reply below 👇 Not investment advice. Ratings can change.

The PIF verdict on SpaceX: Uncomfortable ❌ Revenue sources (core business) ⚠️ Reliance on interest: not evaluated ⚠️ Operational ethics: not evaluated One failed test is enough. Full report: pif.finance/reports/stocks/S…

What about Israel? Starlink got an Israeli license in 2024 and sells there through a local subsidiary, mainly to government bodies and councils. We found no SpaceX R&D or operations there. Under PIF’s rule, sales only passes. Israel isn’t why SpaceX fails.

SpaceX’s President Gwynne Shotwell: it won “more than $6 billion in U.S. contracts in Q2, supporting major Space Force programs.” Musk says government work will fall to about 5% of revenue within a year. Under PIF’s method, a failing core business is out at any share.

Test 1 is where SpaceX fails. Defense is part of its core business. In May 2026 the Space Force gave it $4.16B for missile-tracking satellites and $2.29B for a military data network, both for Golden Dome. Government work was 16.6% of Q3 revenue.

Most of SpaceX’s business is permissible. Q3 2026 revenue was $14.6B: AI computing $7.6B, Starlink $5.2B, rockets $1.8B. Rockets, satellite internet and renting out AI computers aren’t haram in themselves. This is where many screens stop.

PIF screens every stock on 3 tests: 1- Haram revenue under 2.5% for 4 straight quarters (most screens allow 5%) 2- Interest under the same 2.5% line 3- Operational ethics: Israel R&D or operations, CCP ties, forced labor, corruption Fail one: Uncomfortable.

This is not a niche stock. SpaceX is worth about $1.82T, raised $75B in the largest IPO ever, and is 2.61% of QQQ. SPUS can’t hold it yet because it isn’t in the S&P 500. If you own SpaceX, your own screen is the one that counts.

Halal screeners can’t agree on SpaceX. HalalScreener: Halal. Muslim Xchange: Compliant. Zoya: Questionable. Musaffa: Doubtful. The split is mostly about one question: does defense work count against a company? The AAOIFI standard doesn’t name it.

$SPCX SpaceX passes some halal apps. It fails ours. The biggest IPO ever is now building missile defense for the Pentagon. Halal or Haram? #8 🧵

just donated

Halal is more than ratios. Which company should we put through the PIF screen next? Reply below 👇 Not investment advice. Ratings can change.

The PIF verdict on Broadcom: Uncomfortable ⚠️ Revenue sources: not evaluated ❌ Reliance on interest ❌ Operational ethics (Israel ties) Two failed tests. One is enough. Full report: pif.finance/reports/stocks/A…

In Broadcom’s own words, it keeps “engineering resources at locations in the U.S., Asia, Europe and Israel.” Besides the US, Israel is the only country it names. Under our rule, R&D in Israel fails test 3. So Broadcom fails twice.

Test 3: Broadcom’s R&D runs through Israel. Its 10-K names Israel as one of 4 countries holding most of its R&D staff. About 10 Israeli startups bought by 2012. Dune Networks ($178M, 2009) became its Jericho chips, now linking AI data centers.

So why do other screens pass it? They compare debt to market value: 3.2%, far under their 30% line. A $1.4T share price makes any debt look small. We compare interest to the business: 6.0% in the latest quarter of our report. Same debt, two answers.

Test 2 is where Broadcom fails. Debt: $61.1B (Aug 2026), much of it from the $69B VMware deal. Interest expense: $3.1B over 4 quarters to May 2026. That’s 6% to 8% of everything Broadcom spent, every quarter. Our line is 2.5%.

PIF screens every stock on 3 tests: 1- Haram revenue under 2.5% for 4 straight quarters (most screens allow 5%) 2- Interest under the same 2.5% line, vs the business 3- Operational ethics: Israel R&D or operations, CCP ties, forced labor, corruption Fail one: Uncomfortable.

And it’s a big position. Broadcom is the #5 holding in both big US halal ETFs: 4.15% of $SPUS and 4.51% of $HLAL. If you own a halal index fund, you very likely own Broadcom.

Halal screeners agree on Broadcom. Musaffa: Halal. Zoya: Compliant. SPUS and HLAL both hold it. They all test debt the same way: against the share price. None asks what the interest costs the business, or where its R&D sits.