Form 4: Archrock Director Granted Restricted Stock

Archrock, Inc. Director Anne-Marie Ainsworth received a grant of 5,313 shares of restricted common stock under the company's 2020 Stock Incentive Plan.

Summary

• Anne-Marie Ainsworth, a Director of Archrock, Inc. (AROC), was granted 5,313 shares of common stock.
• The transaction occurred on January 29, 2026, and the acquisition price per share was $0, indicating a stock grant.
• Following this transaction, Ms. Ainsworth beneficially owns 131,728 shares of Archrock, Inc. common stock.
• The restricted stock award vests at 25% on the date of grant and then 25% on June 1, September 1, and December 1, 2026.
• The award is subject to forfeiture or accelerated vesting based on specific events outlined in the Award Notice and Agreement.
• A Power of Attorney, effective April 24, 2025, authorizes Stephanie C. Hildebrandt, Andrew Gratz, and William P. Bowes, Jr. to execute and file Section 16 forms on behalf of Ms. Ainsworth.

Sentiment

Score: 7

Explanation: StockSavvy.ai views this as a moderately positive event. While routine, it signifies continued alignment of director interests with shareholder value and is a standard practice in corporate governance.

Positives

• The grant of restricted stock aligns the director's interests with those of shareholders, promoting long-term value creation.
• The transaction is part of a structured incentive plan, indicating a commitment to performance-based compensation.

Negatives

• The shares are restricted and subject to a vesting schedule, meaning they are not immediately liquid for the director.
• The award is subject to forfeiture under certain conditions, introducing a degree of risk for the recipient.

Risks

• The restricted stock award is subject to forfeiture or accelerated vesting pursuant to certain events as set out in the Award Notice and Agreement, meaning the director may not ultimately receive all granted shares.

Future Outlook

The restricted stock grant establishes a future ownership stake for the director, with full vesting expected by December 1, 2026, assuming all conditions are met. This aligns the director's long-term financial interests with the company's performance.

Industry Context

StockSavvy.ai notes that restricted stock grants are a common and widely accepted form of non-cash compensation for directors and executives across various industries, particularly in energy and infrastructure sectors like Archrock's. This practice is designed to align the interests of company leadership with long-term shareholder value creation by tying compensation to future stock performance and tenure.

Comparison to Industry Standards

• Restricted stock grants are a standard component of director compensation packages across publicly traded companies, including peers in the energy infrastructure sector such as USA Compression Partners, LP (USAC) and CSI Compressco LP (CCLP).
• The vesting schedule, with quarterly increments over a year, is a typical structure for such awards, balancing retention incentives with performance alignment.
• The grant price of $0 is standard for equity awards that are not purchased but granted as compensation.

Corporate Governance

Related Party Transactions

• The grant of restricted stock to Anne-Marie Ainsworth, a Director of Archrock, Inc., constitutes a related party transaction as it involves compensation provided by the company to a member of its board of directors.

Stakeholder Impact

• Shareholders: The grant aligns the director's financial incentives with the company's long-term performance, potentially benefiting shareholders through improved governance and strategic decisions.
• Employees: No direct impact on general employees is indicated by this filing.
• Customers/Suppliers/Creditors: No direct impact on these stakeholders is indicated by this filing.

Next Steps

• The remaining 75% of the restricted stock award will vest in three equal installments on June 1, September 1, and December 1, 2026.
• The director will continue to hold the beneficially owned shares, subject to the terms of the 2020 Stock Incentive Plan.

Key Dates

Recommendation

This Form 4 filing details a routine restricted stock grant to a director, which is a standard component of compensation and governance. It does not present new fundamental information that would significantly alter the company's valuation or investment thesis, thus warranting a 'hold' recommendation for existing investors.

Keywords

Archrock, AROC, Form 4, restricted stock, stock grant, insider transaction, director compensation, equity incentive plan