Is UPS Stock Halal?

Is UPS Stock Halal?

Key Points

  • After examining UPS’s source of revenue, the ratio of interest expense to total operating expense, and ESG impact we are comfortable investing in UPS from a Halal perspective.

Company Overview

United Parcel Service is an American multinational shipping & receiving and supply chain management company founded in 1907. Originally known as the American Messenger Company specializing in telegraphs, UPS has grown to become a Fortune 500 company and one of the world’s largest shipping couriers.

How much of UPS, Inc.’s revenue comes from haram?

The revenue source of UPS is divided into three segments. U.S Domestic Package, International Package, and Supply Chain Solutions.

Practical Islamic finance concludes

None of UPS, Inc.’s. Revenue comes from anything inherently haram.

Does UPS, Inc. rely on interest to operate?

Recent Quarter ended 3/31/2022Fiscal Year ended 12/31/2021Fiscal Year ended 12/31/2020
Interest Expense174694701
Total Operating Expense21,12784,47776,944
Interest Expense / Total Operating Expense0.82%0.82%0.91%

*Numbers in millions, of U.S. dollars 

Practical Islamic finance concludes:

Riba is used but not relied upon in UPS, Inc.’s operations.

What is UPS, Inc.’s Environmental, Social, and Governance (ESG) impact?


Over the past decade, UPS invested more than $1 billion in alternative fuel and advanced technology vehicles and fueling stations. Future plans include the deployment of 10,000 all-electric Arrival delivery vehicles in North America and Europe.UPS plans to achieve net-zero carbon emission by 2050.


UPS, Inc. has a Glassdoor rating of 3.5 out of 5.0. Glassdoor is a trusted website where current and former employees can review and rate their companies.


No notable governance highlights.

Practical Islamic finance concludes:

UPS, Inc. has a net positive ESG impact. 

Comfort Rating

From UPS, Inc. business, financial, and ESG reviews, Practical Islamic Finance rates UPS, Inc. stock as

Comfortable to invest in from a Halal perspective.


10Q March 2022

10K December 2021

UPS Social Impact

UPS Glassdoor Rating

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