Is F5 Networks Stock Halal?

Is F5 Networks Stock Halal?

How much of F5 Networks’ revenue comes from haram?

F5 Networks specializes in application delivery networking, cloud management, and network security. 

F5 Networks earns its revenue from the following segments:

  • Product Revenue:

Includes revenue generated from selling network hardware and perpetual software products. These include products both leased and directly sold to the customer.

  • Service Revenue:

Includes revenue generated from customer support services, including telephone support, updates, repair, and part replacement services. In addition, F5 networks offers consulting and training services for users to implement their products efficiently.

The contributions from each of F5’s revenue segments in their 2020 annual report were as follows:

Practical Islamic Finance concludes:

None of F5 Networks’ revenue comes from anything inherently haram.

Does F5 Networks rely on interest to operate?

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What is F5 Networks’ Environmental, Social, and Governance (ESG) impact?

Environment

In 2020, F5 networks reduced direct and indirect greenhouse emissions associated with purchasing electricity, heat, cooling, or steam by 16% from 2019. 

Social

F5 has a Glassdoor rating of 4.1 out of 5.0 from over 1,100 current and previous employees compared to a 3.3 average for all other Glassdoor rated companies.

Governance

No notable governance highlights.

Practical Islamic Finance concludes:

F5 Networks has a net positive ESG impact.

Comfort Rating

From F5’s business, financial, and ESG reviews, Practical Islamic Finance rates F5 Networks stock as:

Comfortable to invest in from a Halal perspective.

Sources

F5 Networks 2020 10-K

F5 Networks Q3 2021 10-Q

F5 ESG Report

F5 Reviews

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