ONEOK (OKE) has surged 30.6% year-to-date, outperforming the Alerian Midstream Energy Index by 68 basis points. Despite offering a 4.5% dividend yield and recent 4% payout increase, the stock may still be underestimated by investors. The company raised its 2026 earnings guidance and secured a deal to power AI data centers, positioning it as a beneficiary of growing natural gas demand driven by data center expansion.

A comparison of three high-yield dividend stocks over the past decade reveals that dividend growth matters more than initial yield. AGNC Investment's dividend income fell 33% due to interest rate changes, while Ares Capital grew dividends 26% and ONEOK increased them 74%. ONEOK delivered the highest total return despite having the lowest initial yield, demonstrating that earnings growth and dividend growth are more important long-term factors than high starting yields.

The Middle East conflict has highlighted the importance of stable energy supplies, positioning North American midstream operators as attractive investments. Enterprise Products Partners, Enbridge, and Oneok offer high dividend yields (5.6%, 4.9%, and 4.5% respectively) with long histories of annual increases, while benefiting from potential growing demand for North American energy through 2030.

Following weekend military skirmishes, the U.S. and Iran agreed to halt hostilities and are meeting in Qatar for peace negotiations. Despite the ceasefire agreement, Iran continues to threaten commercial shipping in the Strait of Hormuz, delaying global energy market recovery. Oil prices rose modestly (~2%), with WTI at $70/barrel and Brent near $75. Low global inventory levels and continued uncertainty present both risks and opportunities for energy investors.

As AI infrastructure demands surge, power has become a critical bottleneck in data center expansion. Bloom Energy and Oneok are positioned to capitalize on this trend through their energy infrastructure solutions. Bloom Energy provides on-site fuel cell power for data centers, while Oneok supplies natural gas infrastructure. Both companies show strong financial momentum but face execution risks.

Enbridge and Oneok are compared as top pipeline stocks with strong dividend track records and stable cash flows. Both companies are investing in expansion projects to support future dividend growth. Enbridge is recommended as the better buy due to its higher dividend yield (4.90% vs 4.64%), larger project backlog ($26.5 billion secured through 2030), faster expected cash flow growth (5% annually), and potential for higher total returns.

As tech stocks dominate market gains, contrarian investors can capitalize on discounted closed-end funds offering yields up to 11.8%. Three funds—Gabelli Equity Trust (GAB), DoubleLine Income Solutions Fund (DSL), and NXG Nextgen Infrastructure Income Fund (NXG)—provide diversified exposure to stocks, bonds, and infrastructure while trading at significant discounts to net asset value.

Oneok reported strong Q1 2026 earnings with 12% net income growth and 13% adjusted EBITDA growth, driven by higher volumes across its midstream operations. The company raised its full-year 2026 guidance and is investing $2.7-3.2 billion in expansion projects expected to come online through 2028. With a 4.7% dividend yield and plans to increase dividends 3-4% annually, Oneok is positioned for continued growth.

ONEOK, Inc. (NYSE: OKE) announced a quarterly dividend of $1.07 per share, unchanged from the previous quarter, resulting in an annualized dividend of $4.28 per share. The dividend is payable May 15, 2026, to shareholders of record as of May 4, 2026.

With growth stocks rebounding strongly, dividend stocks have underperformed, creating buying opportunities for income-focused investors. The article recommends four dividend stocks: Illinois Tool Works (62 years of dividend increases), Oneok (reliable pipeline company with 5% yield), Verizon Communications (6.1% yield, 19 consecutive years of increases), and Brookfield Asset Management (targeting 15-20% annual growth with ~90% dividend payout).

Oneok (OKE), an energy midstream company, has rallied 15% in 2026 and continues to look attractive despite the surge. The company maintains a 25+ year track record of stable and growing dividends, offers a 5% yield, and trades at a reasonable 15x forward earnings valuation. With merger synergies and expansion projects expected to drive ~9% annual earnings growth through 2028, the stock could deliver double-digit total returns.

While oil prices have surged 60% due to the Iran conflict, the gains for oil producers are expected to be temporary. Pipeline stocks with long-term fixed-rate contracts offer more stable, predictable earnings and large project backlogs, making them better long-term holds. Three recommended contract-rich pipeline stocks are Enbridge, Kinder Morgan, and Oneok.