Form 4: ONEOK Executive Lentz Vests Shares

ONEOK Executive Vice President and COO Randy N. Lentz reported the vesting of restricted stock units and subsequent acquisition and tax-related disposition of common stock.

Summary

• Randy N. Lentz, Executive Vice President and Chief Operating Officer of ONEOK, Inc., reported transactions involving the company's common stock.
• On January 30, 2026, 6,556.6169 shares of common stock were acquired upon the vesting of restricted stock units (RSUs) at a price of $79.19 per share.
• These shares resulted from the vesting of one-third of an original award of 18,524 restricted units, including accumulated dividends.
• Concurrently, 1,686 shares of common stock were disposed of at $79.19 per share, likely to cover tax liabilities associated with the RSU vesting.
• Following these transactions, Lentz beneficially owns 5,139.3479 shares of common stock.
• 12,225 derivative securities (remaining RSUs) are still beneficially owned, with the remaining two-thirds of the original award scheduled to vest on February 1, 2027.

Sentiment

Score: 7

Explanation: StockSavvy.ai views this as a neutral to slightly positive event, reflecting the routine vesting of executive compensation and continued alignment of executive interests with shareholders through remaining equity holdings.

Positives

• Vesting of restricted stock units indicates a portion of executive compensation has materialized.
• The executive continues to hold a significant number of shares and derivative securities, aligning interests with shareholders.

Negatives

• A portion of the vested shares (1,686 shares) was disposed of, likely for tax purposes, reducing the immediate increase in direct beneficial ownership.

Future Outlook

The remaining two-thirds of Randy N. Lentz's restricted unit award, totaling 12,225 units, are scheduled to vest on February 1, 2027, with accumulated dividend equivalents to be paid out in shares of common stock at that time.

Management Comments

• 18,524 restricted units were awarded to the participant under the Issuer's Equity Incentive Plan upon becoming the Issuer's Executive Vice President and Chief Operating Officer.
• One-third of the award, including accumulated dividends, vested 1/30/2026, and the remaining two-thirds will vest on 2/1/2027.
• During the remaining vesting period, the award will continue to be credited with dividend equivalents that will be paid out in shares of common stock at the time the two-thirds of the underlying units vest and are issued.

Industry Context

StockSavvy.ai notes that executive compensation, particularly through equity awards like Restricted Stock Units (RSUs), is a common practice across the energy infrastructure sector. These awards are designed to align executive interests with long-term shareholder value by tying a significant portion of compensation to company performance and stock appreciation. The vesting of RSUs and subsequent tax-related dispositions are routine events for executives in publicly traded companies.

Comparison to Industry Standards

• The structure of RSU awards with multi-year vesting schedules is a standard practice in executive compensation across the S&P 500, including peers in the midstream energy sector like Kinder Morgan (KMI) and Enterprise Products Partners (EPD), promoting long-term retention and performance alignment.
• The disposition of shares to cover tax obligations upon RSU vesting is a common and expected event, consistent with practices observed in executive compensation plans at major corporations globally.

Corporate Governance

Stakeholder Impact

• Shareholders: Continued alignment of executive interests with shareholder value through equity ownership.
• Employees: Reflects the company's executive compensation structure, which may influence broader compensation philosophies.

Next Steps

• The remaining two-thirds of the restricted unit award will vest on February 1, 2027.

Key Dates

Recommendation

This Form 4 filing details routine executive compensation events (RSU vesting and tax-related share disposition) and does not contain information that would fundamentally alter the investment thesis for ONEOK. It confirms executive alignment but provides no new operational or financial data to warrant a change in investment posture.

Keywords

ONEOK, OKE, Randy N. Lentz, Insider Transaction, Form 4, Restricted Stock Units, RSU Vesting, Executive Compensation, Common Stock