Regal Rexnord Corp

RRX

Not Compliant
Exchange
Sector
Headquarters
Group
NYSE
Industrials
USA
Large Cap

Regal Rexnord Corp is not Shariah Compliant because it fails the financial ratios.

0.31%

Impure Income*

$0.069

Purification*

-

Zakat*

Financials

Market cap Group
Analysts' Rating
Price Target (Mean)
Total Analysts
Revenue Growth
Large Cap
BUY
$258.66
11
4.30%
Operating Margin
Net Profit Margin
Quick Ratio
Current Ratio
EPS Growth
11.99%
4.73%
1.10
2.15
10.28%

Shariah Compliance

Debt
32.3%
Non-Compliant Assets
Impure Income
0.31%

AAOIFI Rulebook:

  • Non-compliant Liabilities (like Interest-based Debt) < 30% of Market cap
  • Non-compliant Assets (like Interest-based Investments) < 30% of Market cap
  • Impure Revenues (incl. Interest Income) < 5% of Total Revenues

Source: AAOIFI SS21

Debt
46.04%
Impure Income
0.31%

S&P Sharia Rulebook:

  • Interest-based Debt < 33% of 36-mo avg. Market cap
  • Impure Revenues (incl. Interest Income) < 5% of Total Revenues

Source: S&P Shariah Methodology

Debt
45.12%
Impure Income
0.31%

Dow Jones Islamic Market (DJIM) Rulebook:

  • Interest-based Debt < 33% of 24-mo avg. Market cap
  • Impure Revenues (incl. Interest Income) < 5% of Total Revenues

Source: DJIM Methodology

Debt
34.15%
Cash
2.91%
Cash & AR
7.2%
Impure Income
0.31%

FTSE Shariah Rulebook:

  • Interest-based Debt < 33.33% of Total Assets
  • Cash and interest-bearing items < 33.33% of Total Assets
  • Accounts receivable and cash < 50% of Total Assets
  • Impure Revenues (incl. Interest Income) < 5% of Total Revenues

Source: FTSE RUSSELL

Debt
34.15%
Cash
2.91%
Cash & AR
7.2%
Impure Income
0.31%

MSCI Islamic Rulebook:

  • Interest-based Debt < 33.33% of Total Assets
  • Cash and interest-bearing items < 33.33% of Total Assets
  • Accounts receivable and cash < 33.33% of Total Assets
  • Impure Revenues (incl. Interest Income) < 5% of Total Revenues

Source: MSCI Islamic Indexes

Impure Income Breakdown

-
-
Interest Income
0.31%

Note on Purification and Zakat:

  • Purification and Zakat (for long-term investing) calculations are in USD per share and based on AAOIFI methodology. AAOIFI requires purification every financial period (e.g. quarterly). 
  • If you follow S&P Shariah’s Dividend-only purification, then remove the impure income % from the dividends you receive. No purification required for non-dividend paying stocks, according to S&P Shariah.
  • For Zakat, if you did not invest in a company from a long term perspective, then consider the shares as trading goods and give 2.5% of the total value if a year has passed on them. 

Company Profile

Regal Rexnord Corporation provides sustainable solutions that power, transmit and control motion. Its electric motors and air moving subsystems provide the power to create motion. Its segments include Automation & Motion Control (AMC), Industrial Powertrain Solutions (IPS), and Power Efficiency Solutions (PES). The AMC segment designs, produces and services conveyor products, conveying automation subsystems, aerospace components, precision motion control solutions, among others. The IPS segment designs, produces, and services a portfolio of engineered transmission products, including mounted and unmounted bearings, couplings, mechanical power transmission drives and components, gearboxes and gear motors, clutches, brakes, and industrial powertrain components and solutions. The PES segment designs and produces fractional to approximately five horsepower AC and DC motors, electronic variable speed controls, electronic drives, fans and blowers, among others.