Is Tata Motors Ltd Share Halal and Shariah Compliant?

Is Tata Motors Ltd Share Halal or Haram? If you’re looking for a detailed Shariah compliance analysis, you’re in the right place!

In this article, we provide a detailed breakdown of Tata Motors Ltd’s business operations, financials, and compliance with Shariah screening guidelines. Whether you’re an ethical investor or exploring halal investment opportunities, this analysis will help you make an informed decision.

Is Tata Motors Ltd Share Halal and Shariah Compliant?

Tata Motors Ltd is a leading global automobile manufacturer, has undergone a Shariah compliance screening based on key business activity and financial information available publicly.

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Based on the current annual report published on 31-05-2024, Tata Motors Ltd Share is classified as Halal and Shariah Compliant, as it meets the required Shariah screening guidelines. The company’s core business activities align with Islamic principles, and it’s all financial ratios, including interest-bearing debt and impermissible income, remain within the permissible thresholds.

For transparency and verification, you can review the latest annual report of Tata Motors Ltd from here: Tata Motors Ltd Annual Report

Shariah Compliance Analysis of Tata Motors Ltd Stock

CriteriaValueStatus
Business ActivityAuto Mobile✅ PASS
Impermissible Income to Total Revenue4.44%✅ PASS
Interest-Bearing Debt to Total Assets28.94%✅ PASS
Illiquid Assets to Total Assets Ratio55.24%✅ PASS
Net Liquid Assets vs Market CapitalizationCompliant as per Shariah principles✅ PASS
Non-Compliant Investments to Total AssetsLess than 33% (Compliant)✅ PASS

Also Read : Is ONGC Limited Share Halal or Not? 2025 Review

Business Overview of Tata Motors Ltd

Tata Motors Ltd, a subsidiary of the Tata Group, is one of India’s largest automobile manufacturers. Founded in 1945, the company operates in diverse automotive segments, including passenger vehicles, commercial vehicles, and electric mobility. It has a strong presence in domestic and international markets, with subsidiaries like Jaguar Land Rover (JLR) expanding its global footprint.

Tata Motors is known for innovation, safety, and sustainability, offering electric vehicles (EVs) under the Tata Passenger Electric Mobility brand. The company leverages advanced technology and strategic partnerships to enhance its product portfolio. With a commitment to green mobility and digital transformation, Tata Motors continues to be a leader in India’s automotive industry.

Conclusion

Based on the Shariah screening process and annual report published on 31-05-2024, Tata Motors Ltd Share is classified as Halal and Shariah Compliant, meeting all major Islamic investment criteria. The company’s core business activities and financial ratios align with Shariah principles, making it a permissible investment option for Muslim investors. (Allah Knows the Best)

However, investors are advised to conduct their own due diligence and periodically review the company’s financial reports for any changes in compliance.

Disclaimer: The information on Halalfinance.co.in is for educational and informational purposes only and not financial advice. We are not liable for any investment decisions you make; always consult a financial advisor before investing.

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