Is Paramount (PARA / PSKY) Halal? 2026 AAOIFI Analysis
We use primary sources, dated financial data, and a documented review process. Read our editorial policy.
AAOIFI screening result
PARA / PSKY: Non-compliant
The current PSKY security fails because interest-bearing debt equals 157.58% of market capitalization. Its entertainment activity also needs manual review even apart from the financial failure.
Ticker update: Paramount Global's former PARA shares converted into Paramount Skydance shares in August 2025. The current Nasdaq ticker is PSKY, so this article screens PSKY rather than the retired PARA symbol.
Based on Halalytic's AAOIFI 30/30/5 screen dated July 11, 2026, Paramount Skydance (PARA / PSKY) is non-compliant. This is a dated screening snapshot, not a permanent fatwa: company filings, market capitalization, and scholarly analysis can change the result.
What does Paramount Skydance do?
Paramount Skydance owns film and television studios, CBS, streaming services, cable networks, and other media assets. Entertainment is not automatically permissible or prohibited as a whole: the content mix, advertising, licensing, and revenue sources require qualitative review that an industry label cannot complete.
Primary company source: Paramount Skydance 2025 Form 10-K.
PARA / PSKY AAOIFI screening breakdown
| Screen | Result | AAOIFI limit | Status |
|---|---|---|---|
| Interest-bearing debt / market cap | 157.58% | Below 30% | Fail |
| Cash and interest-bearing securities / market cap | 18.43% | Below 30% | Pass |
| Non-permissible income / revenue | 0.52% | Below 5% | Pass |
Business activity: Manual review required · Sector: Communication services · Industry: Entertainment and media. The income screen uses reported interest income as a proxy when available.
Why the result can change
The financial outcome is clearer than the business-activity debate. PSKY's debt ratio is more than five times the AAOIFI limit, so it remains non-compliant under this screen regardless of the cash and income results. The pending Warner Bros. Discovery transaction creates additional capital-structure and business-mix uncertainty.
- Debt and financing connected to acquisitions
- Revenue mix across studios, streaming, advertising, and licensed content
- Manual scholarly review of entertainment content and contracts
Investment questions beyond halal status
Passing a Shariah screen does not mean a stock is undervalued, financially safe, or suitable for a particular portfolio. A non-compliant verdict is also not a prediction that the share price will fall.
- What will the post-transaction debt burden look like?
- Can streaming growth offset declining linear television?
- How should investors assess integration, regulatory, and content risks?