Verdict change report

ATLX is no longer halal under AAOIFI

Atlas Lithium Corporation (ATLX) moved from halal to not halal under AAOIFI.

Verdict under AAOIFI
not halal
Screens AAOIFI applies
4
Balance-sheet denominator
12-quarter average market cap
2 November 2026Recorded 2 Nov 2026, 09:45US

By Akinda Research. The change is from our own screening run for this date; the rules quoted below are each standard's own published methodology as we implement it. No cause is inferred and no commentary is added.

What changed

AAOIFI

AAOIFI · On every new audited statement — Akinda re-screens nightly

Before

halal

After this run

not halal

What AAOIFI measures

  • Excluded activitiesThe base list: conventional banks and regional banks, mortgage lenders, asset managers, stock and securities exchanges, derivatives dealers and clearing houses, insurance and life insurance, healthcare plans, tobacco, alcohol (brewers, distillers, vintners), gambling and casinos, and pork / non-halal meat.
  • Non-compliant incomeprohibited income (interest + prohibited) > 5% → NOT HALAL; impure income (including half-weighted doubtful) > 5% → DOUBTFUL
  • Debt(short-term + long-term debt) ÷ 12-quarter average market cap — fails at ≥ 30%
  • Cash / liquidity(cash + short-term investments) ÷ 12-quarter average market cap — fails at ≥ 30%

Ratios divide by a 12-quarter average market cap. AAOIFI publishes a standard rather than an index, so there is no removal tolerance: the verdict above is the raw-ratio result.

  • No averaging window is written into the standard. Akinda uses a 12-quarter average market cap, and says so rather than leaving it implied.
  • The doubtful category and its half-weighting are an Akinda convention that follows AAOIFI. The four index methodologies have no doubtful state — their result is pass or fail.

A verdict belongs to a standard, not to a company. Atlas Lithium Corporation is not halal under AAOIFI Shari'ah Standard No. 21 as of this run; the other four standards reach their own answer on the same filings, and they frequently disagree. The rest of this report is what AAOIFI tests, what can move it, and how the other four differ on the same question.

How AAOIFI screens a company

AAOIFI Shari'ah Standard No. 21. The standard Akinda's own verdict follows. Every status, rating and ratio elsewhere on Akinda is this one. Review cadence: On every new audited statement — Akinda re-screens nightly. The balance-sheet ratios divide by a 12-quarter average market cap.

ScreenWhat AAOIFI applies
Excluded activitiesThe base list: conventional banks and regional banks, mortgage lenders, asset managers, stock and securities exchanges, derivatives dealers and clearing houses, insurance and life insurance, healthcare plans, tobacco, alcohol (brewers, distillers, vintners), gambling and casinos, and pork / non-halal meat.
Non-compliant incomeprohibited income (interest + prohibited) > 5% → NOT HALAL; impure income (including half-weighted doubtful) > 5% → DOUBTFULinterest income + revenue from prohibited segments. Doubtful revenue is counted at half weight, which is what separates a DOUBTFUL verdict from a NOT HALAL one.
Debt(short-term + long-term debt) ÷ 12-quarter average market cap — fails at ≥ 30%short-term debt + long-term debt + capital lease obligations. Operating liabilities (e.g. payables) are excluded when they do not bear interest.
Cash / liquidity(cash + short-term investments) ÷ 12-quarter average market cap — fails at ≥ 30%cash & cash equivalents + short-term investments (interest-bearing cash equivalents, money-market holdings, short-term marketable securities). Receivables can optionally be included as a stricter mode — disabled by default to match AAOIFI Standard 21.
ReceivablesNo screen

Primary source: Shari'ah Standard No. 21 — Financial Paper, Shares and Bonds

What moves a verdict under this standard

Four things change a Shariah verdict, and only two of them are decisions the company made.

  1. The balance sheet moved

    New borrowing, a cash build-up or a change in receivables moves the ratio directly. Under AAOIFI the test is (short-term + long-term debt) ÷ 12-quarter average market cap — fails at ≥ 30%.

  2. The share price fell

    AAOIFI divides by a 12-quarter average market cap, so the ratio rises when the company shrinks underneath the debt it already has — a company can become non-compliant without issuing a dollar of new borrowing. The average runs over months, so a single day never does it alone.

  3. The business was re-classified

    Akinda applies each methodology's published financial ratios. The business-activity classification is Akinda's own, built from company filings. It is not the index provider's own screening data. Akinda is not affiliated with, endorsed by, or licensed by AAOIFI, S&P Dow Jones Indices, FTSE Russell, MSCI or Yasaar. A change in what a company earns from — or in how that revenue is reported — can cross the activity screen with no ratio moving at all.

  4. The standard moved its own limit

    A rulebook can revise its thresholds, and every company sitting between the old line and the new one changes verdict without acting. When the Dow Jones Islamic Market standard lowered its debt limit from 33% to 30% and added a 30% cash screen on 19 September 2026, the next run recorded 354 companies changing verdict under that standard alone. Where a report can tell that this is what happened, it says so in place of blaming the company.

The same test, under all five standards

Debt is applied by every recognised standard, and no two apply it the same way. This is why a single blended verdict hides more than it tells — and why Atlas Lithium Corporation can read one way under AAOIFI and another way elsewhere.

StandardIts ruleDivides by
AAOIFIthis report(short-term + long-term debt) ÷ 12-quarter average market cap — fails at ≥ 30%12-quarter average market cap
DJIMinterest-bearing debt ÷ 24-month average market cap — < 33% through 2026-09-18, < 30% from 2026-09-1924-month average market cap
FTSEdebt ÷ total assets — < 33.333%total assets
MSCItotal debt ÷ total assets — ≤ 33.33%total assets
S&Pdebt ÷ 36-month average market value of equity — < 33%36-month average market value of equity

Each standard's own rule, quoted as we implement it. The differences in the fourth significant figure are not typos: a company at exactly 33.33% passes one standard and fails another.

Check ATLX yourself

This report is one measurement on one date. The current verdict, under all five standards with the ratio behind each, is one call:

GET /api/v1/full-report/ATLX

AAOIFI's own fields on that response are halal_status, non_compliant_revenue_perc, debt_ratio_perc, liquidity_ratio_perc, receivables_ratio_perc, and the verdict itself is halal_status.

API documentation →AAOIFI methodology in full →

Method and limits

  • A changed verdict is not always a changed company. Where a standard moved its own limit, this report says so rather than attributing it to the company.
  • Not every change is about a ratio. Roughly one in ten is a business-activity or instrument screen, where no number moved. Those carry no figures, deliberately.
  • Market capitalisation here is an average, not a quote. It runs over 12 to 36 months depending on the standard, so it will not match a price site. It is the figure the debt screens themselves divide by.
  • A verdict is per standard and per date. Nothing here states a company's compliance in general, because no such single answer exists.

This is screening data presented for information. It is not investment advice and it is not a religious ruling. AAOIFI, Dow Jones, FTSE, MSCI and S&P publish their own standards and we are not affiliated with any of them; what is reported here is what each published methodology produces when applied to a company's filings.

Common questions

Why did this company change verdict without any news?

Three of the five standards divide debt by an average market capitalisation rather than by total assets, so the ratio moves when the share price does. A company whose price falls far enough becomes non-compliant without issuing a dollar of new debt. The averages run over 12 to 36 months, so a single day's move never does it alone.

Can a standard change its own rules?

Yes, and it happens. On 19 September 2026 the Dow Jones Islamic Market standard lowered its debt limit from 33% to 30% and added a cash screen it had never had. The next screening run recorded 354 companies changing verdict under that standard alone — none of which had changed. Where a report can tell that this is what happened, it says so rather than blaming the company.

Why do the standards disagree about the same company?

They use different limits, different comparators and different denominators. MSCI tests debt above 33.33% while FTSE tests at 33.333% or above, so a company at exactly 33.33% passes one and fails the other. FTSE and MSCI divide by total assets; AAOIFI and S&P divide by a 12-quarter average market cap; Dow Jones uses a 24-month one. That is why every figure on this page names the standard it belongs to.

Does a non-compliant verdict mean the shares must be sold?

That is a decision for the holder and their own scholar, and this page does not make it. What the data supports is narrower: under this standard, on this date, the company did not pass. Most frameworks that permit continued holding require purification of the non-compliant share of income, which is a separate calculation from the screen itself.

Is this a religious ruling?

No. We report what each published methodology produces when applied to a company's filings, and we name which methodology produced it. The standards are the work of their own scholars and boards, and we are not affiliated with AAOIFI, Dow Jones, FTSE, MSCI or S&P.

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What makes a stock shariah compliant

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Sin stocks and the activity screen

The industries every rulebook excludes before a single ratio is calculated.

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SEC filings API

The filings behind every verdict, parsed and joined to the screen that used them.

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Every verdict change, as it happens

This report is one company on one date. The full feed — every stock and fund, every standard, with the ratio behind each change — is an API endpoint.

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ATLX is no longer halal under AAOIFI — 2 November 2026