Is CACI Stock (CACI) Halal? A Complete Analysis

The Short Answer

CACI stock (CACI) is haram (impermissible) for Muslim investors at most major Islamic screening platforms. CACI International is a US government services contractor, providing expertise and technology for national security, defense, and intelligence missions. While CACI is more software- and services-oriented than a pure weapons manufacturer, its revenue is overwhelmingly tied to defense and intelligence missions including offensive cyber and electronic warfare programs.

Most major Sharia advisory boards classify defense and intelligence services contractors with significant offensive-cyber and electronic-warfare exposure as failing the qualitative business activity screen. CACI is excluded from major Islamic indices on those grounds.

Sharia Screening Methodology

Islamic scholars use several criteria to screen stocks:

• Business activity screen: Is the company's primary business halal?
• Debt ratio: Total debt / market cap must be under 33%
• Interest income: Interest income / total revenue must be under 5%
• Haram revenue: Revenue from haram sources must be under 5%
• Receivables ratio: Total receivables / total assets must be under 49–70% (varies by board)

CACI fails the qualitative business activity screen because defense and intelligence missions are the primary revenue source.

CACI's Business Activity

CACI organizes its business around national security expertise and technology for the US government:

• Expertise: Mission support, intelligence analysis, mission engineering, cyber operations, and language services for the Department of Defense and intelligence community
• Technology: Signals intelligence (SIGINT) systems, electronic warfare, photonics, secure communications, software, and mission systems integration
• Customers: Department of Defense, intelligence agencies, federal civilian agencies, and select international and commercial customers

Defense and intelligence missions dominate the customer mix. CACI's technology business sells signals intelligence, electronic warfare, and offensive cyber capabilities directly to defense and intelligence customers — these are core military capabilities, not dual-use enterprise IT.

Why CACI Fails the Sharia Business Activity Screen

1. Defense and Intelligence Are the Dominant Revenue Source

Department of Defense, intelligence community, and other federal national-security customers are the overwhelming majority of CACI's revenue. Sharia advisory boards screen the dominant revenue source — when defense and intelligence missions dominate, the qualitative screen fails regardless of the specific technology or service line.

2. Electronic Warfare and Offensive Cyber

CACI's technology business specifically sells electronic warfare systems, signals intelligence collection platforms, and offensive cyber capabilities. These are direct military capabilities used in active conflicts, not commercial software with incidental defense customers.

3. Universally Excluded from Islamic Indices

Major Islamic indices (Dow Jones Islamic Market, MSCI Islamic, S&P Sharia) exclude CACI as a defense services contractor. Sharia-compliant ETFs and mutual funds do not hold the stock.

Financial Ratios (2025)

For completeness — although the qualitative screen is the primary issue:

• Total Debt / Market Cap: Moderate — varies through cycles ⚠️
• Interest Income / Revenue: Under 5% ✅ (secondary to qualitative failure)
• Haram Revenue: Defense and intelligence dominate ❌
• Receivables Ratio: Within limits ✅

Even if financial ratios pass, CACI fails the qualitative business activity screen.

Verdict from Major Screening Agencies

CACI stock is generally screened as non-compliant (haram) by:

• Zoya App — Non-Compliant ❌
• MSCI Islamic criteria — Does not meet criteria ❌
• AAOIFI-style Sharia advisory boards — Not Approved ❌
• Major Islamic indices (Dow Jones, MSCI, S&P Sharia) — Excluded ❌

Bottom Line

CACI International (CACI) is haram for Muslim investors. The company is a defense and intelligence services contractor whose primary revenue comes from the US Department of Defense and intelligence community, including direct sales of electronic warfare, signals intelligence, and offensive cyber capabilities.

Muslim investors seeking exposure to government IT or cybersecurity should consider pure-play commercial cybersecurity software companies (Palo Alto Networks, CrowdStrike, Fortinet) or commercial IT services without a defense-services concentration.