Portfolio Action Summary:

• GasLog Partners (NYSE: GLOP) added to the Aggressive Portfolio. Buy below $30. (See Best Buys)
• Crestwood Midstream Partners (NYSE: CMLP) downgraded to Hold
• Energy Transfer Partners (NYSE: ETP) buy below target increased to $65 from $55

Alliance Holdings  (Nasdaq: AHGP) announced a strong first quarter as its earnings rose 12.4 percent to $67.4 million, or $1.13 per diluted share. The board of directors authorized an increase to the quarterly payout to $0.8475 per unit, or an annualized rate of $3.39 per unit. The distribution represents an 11 percent increase from the first quarter of 2013, and a 2.4 percent increase sequentially. The unit price rose 5.5 percent in April. Continue to buy AHGP up to $68.

AmeriGas Partners (NYSE: APU) reported strong results boosted by rising propane distribution margins on May 7, the week after increasing its quarterly distribution by 4 cents to $0.88 per share, or $3.52 annualized. That works out to a 7.8 percent yield at the current price. Management also narrowed annual EBITDA guidance to the upper half of the previously forecast range. The unit price jumped 9.2 percent in April. #9 on our Best Buy list, APU is a Buy up to $51.

Atlas Resource Partners (NYSE: ARP) reported its acquisition-aided first-quarter adjusted EBITDA more than doubled to $64.5 million year-over-year. Average daily production for the quarter rose 85 percent to 246.6 million cubic feet equivalent per day (Mmcfe/d) compared with the prior year’s quarter, although output fell 5 percent from the immediately prior period as a result of winter weather, costing  ARP approximately $3.5 million.

Distributable cash flow rose 69.2 percent to $42.3 million, or $0.53 per unit, and would have hot $0.58 per unit without the weather drag.

ARP paid out $0.58 per unit anyway, representing a 14 percent increase over the prior year’s first quarter, albeit with distribution coverage of just 0.91x. The partnership is likely to make up for the weather slowdown during the balance of the year, likely leaving it on track to fully cover the prior forecast for distributions of $2.40 to $2.60 per unit in 2014.    

ARP also announced the $420 million acquisition of a 25 percent working interest in a slow-decline carbon-dioxide flood oil field operated by Chevron (NYSE: CVX) in northwest Colorado. The assets, spanning 10,000 acres, have a current output of 2,900 barrels of oil equivalent per day, total reserves of 47 million barrels of oil equivalent (MMboe) and proved developed producing reserves of 25 MMboe. Lease operating costs were estimated at $25 to $30 per barrel and ARP said the transaction will be immediately accretive to DCF on a fully financed basis. In conjunction with the purchase, Atlas sold an additional 13.5 million units, which drove the unit price to a five-month low and the current annualized yield up to 12.2 percent. Meanwhile, billionaire fund manager Leon Cooperman continued to increase his stake in late April, spending an additional $2.6 million. ARP’s promising production growth should help it pay the double-digit yield while meeting its goal of reducing debt leverage and the close relationship with Chevron (buyer of a previous incarnation of Atlas from this management years ago) also augurs well. Buy ARP below $23.

Boardwalk Pipeline Partners (NYSE: BWP) reported first-quarter revenues grew 9 percent to $356.9 million. Adjusted EBITDA increased 6 percent to $220 million from the same period a year ago. Distributable cash flow per unit came in at $0.66, covering the much reduced distribution with a 1.73x ratio.

Higher transportation volumes due to colder weather in the East and Midwest contributed to the strong quarter. The completion of some of the company’s growth projects added about $6 million in revenue but was offset by a $7 million revenue drag related to transportation contract renewals. Shares of BWP have gained 15.2 percent since we recommended them on April 4. Buy BWP on dips below $15.

Buckeye Partners (NYSE: BPL) reported income from continuing operations for the first quarter rose 7.1 percent to $101.5 million. Earnings attributable to unitholders came in at $0.87 per diluted unit, about 3 cents lower than the prior year’s quarter mainly due to an increase in outstanding units from 103.6 million to 115.8 million.

The recent acquisition of Hess’s terminals helped drive strong results in the company’s Pipelines & Terminals and Global Marine Terminals segments. Distributable cash flow from continuing operations for the quarter rose 4.9 percent to $131.8 million for a distribution coverage ratio of 1.03x.

Buckeye also announced a 1.25 cent boost to its quarterly distribution, bringing it to $1.10 per share. This represents a 5 percent increase over the prior year’s quarter and a yield of about 5.6 percent at current prices. Shares of Buckeye hit an all-time high of $79.37 on April 22 but finished the month relatively flat. BPL is a Buy on dips below $70.

Crestwood Midstream Partners (NYSE: CMLP) units are now priced at a five-month low after dropping more than 3 percent on May 6 in response to a disappointing quarterly report. But even that decline represented a victory of sorts after Crestwood abandoned plans to grow its per unit distribution at least 6 percent this year, holding the payout steady in what could become a yearlong hiatus as management ramps up investment in growth projects while waiting for cash flow to catch up.

As is, distributable cash flow in the latest quarter will cover only 91 percent of the May distribution of 41 cents per unit, and the CEO indicated on the conference call not to expect any increases until the coverage ratio improved to 1.05-1.10x, perhaps no earlier than 2015.

The wells supplying the Bakken Arrow crude gathering system Crestwood acquired late last year continue to deliver strong results, but bad winter weather caused numerous service disruptions that left overall results short of expectations. Crestwood is, however, sticking with its annual EBITDA growth guidance.

While investors’ refusal to panic in the face of a moratorium on distribution increases is a hopeful sign, we’re downgrading CMLP back to a Hold pending further proof that management can execute on its ambitious growth plans in the Marcellus and the Utica as well as the Bakken.

CVR Refining (NYSE: CVRR) reported first-quarter net income fell 3.6 percent to $265.4 million, or $1.80 per unit as direct operating expenses per barrel sold rose to $5.08 from $4.64 in the first quarter of 2013. Refining margins declined by nearly 40 percent year-over-year from more than $26 to just under $16 per barrel.

Revenues were strong, increasing by 4.4 percent to $2.38 billion. The partnership’s refineries performed well in the first quarter, posting record combined crude throughput of 201,902 barrels per day (bpd).

Based on its current crude throughput rates, CVRR expects crude throughput of 190,000 to 205,000 bpd in the current quarter.

CVR Refining announced a quarterly distribution of $0.98 per share, to be paid May 19 to unitholders on record as of May 12. Although CVRR is a variable-distribution partnership dependent on the volatile refining margins, annualizing its first-quarter distribution translates into a yield of more than 15 percent at the current unit price, which rose 9.8 percent in April. CVRR is a buy below $26.

DCP Midstream Partners (NYSE: DPM) reported DCF rose 58 percent in the first quarter to $122 million. First-quarter adjusted EBITDA increased 38 percent to $138 million, driven by dropdowns and the strong performance of organic growth projects.

During the quarter, DCP completed an immediately accretive $1.15 billion dropdown, brought three growth projects on line and initiated investment in its $250 million Lucerne 2 gas processing plant, which is currently under construction.

On April 28, DCP Midstream announced its 14th consecutive quarterly distribution boost to $0.745 per unit, or $2.98 annualized. The current payout rose 1.7 percent from the fourth quarter of 2013 and 6.4 percent year-over-year. The partnership’s reported first-quarter DCF provided 1.4x coverage. This distribution increase is in line with the partnership’s 2014 distribution growth target.

The unit price rose 5.5 percent in April. Buy DPM on dips below $51.

EnLink Midstream (NYSE: ENLC) reported DCF of $21.9 million for the first quarter, which equated to a coverage ratio of 1.5x on its increased quarterly distribution of $0.18 per share, up 20 percent from the fourth quarter of 2013 and 50 percent from a year ago. The MLP it manages, EnLink Midstream Partners (NYSE: ENLK), had less luck, falling short of its internal earnings goals as a result of startup difficulties at a fractionator, a slowdown in the Barnett Shale and some hitches with two brine disposal wells in the Utica. As a result, ENLK’s implied coverage for its own distribution fell short at 0.93x, and the partnership also cut its annual EBITDA forecast by $25 million to $475 million. But distribution growth plans at both ENLC and ENLK remain in place, and the May 12 analyst meeting should demonstrate the midstream businesses numerous growth paths thanks to its affiliation with majority owner Devon Energy (NYSE: DVN). ENLC’s share price inched up 2 percent in April. ENLC, our #8 Best Buy, can be purchased up to $40.

Enterprise Products Partners (NYSE: EPD) reported first-quarter revenues increased 13 percent to $12.9 billion, as the cold winter spurred increased energy usage and higher demand for fuel transport.

Enterprise announced a 6 percent increase to its quarterly cash distribution, bringing it to $0.71 per share or $2.84 annualized. For the first quarter, Enterprise generated distributable cash flow of $1.1 billion, up from $897 million a year ago, good for a very strong 1.6x coverage ratio of its distribution. The partnership retained about $418 million of the DCF to reinvest in capital projects and reduce debt. The unit price rose 4.2 percent in April, and the MLP currently yields 3.9 percent. At least three brokerages raised their price targets after the latest strong results, which were propelled by the fast-growing and lucrative liquefied petroleum gas exports. EPD is our #1 Best Buy below $75.

Energy Transfer Equity (NYSE: ETE) reported first-quarter DCF rose $21 million to $199 million. In April, ETE increased its quarterly distribution to $0.35875 per share, representing split-adjusted growth of 11 percent year-over-year. The coverage ratio was 1.02x. ETE’s future cash flows will get a lift from the deal it struck late last month to buy Texas filling stations and convenience stores operator Susser Holdings (NYSE: SUSS) at a 41 percent premium, merge it with the filling stations left over at Energy Transfer Partners (NYSE: ETP) from the Sunoco acquisition and turn the retail business into a fourth affiliated MLP paying lucrative incentive distribution rights to ETE alongside ETP, Sunoco Logistics (NYSE: SXL) and Regency Energy Partners (NYSE: ETP). ETE slipped less than 1 percent in April but remains one of the sector’s biggest winners over the last year and in 2014. The partnership has nearly completed a $1 billion unit buyback begun in Decembe. #4 Best Buy ETE is a deal up to $52.

Energy Transfer Partners (NYSE: ETP) said DCF attributable to partners rose 67.3 percent to $629 million. The strong results were aided by continued asset growth, increased customer demand and higher commodity prices.

In April, the partnership lifted its distribution to $0.935 per unit, 1.6 percent above the payout for the fourth quarter of 2013 and 4.6 percent higher year-over-year. It was the third consecutive quarterly hike in a distribution that had been previously kept level since the third quarter of 2008, implying an annual growth rate of nearly 7 percent. ETP’s first-quarter DCF covered the new distribution by a 1.36x coverage ratio, up sharply from 1.09x and 1.14x in the two immediately prior periods.

Upside came from much stronger Texas gas gathering and fractionation profits driven by capacity expansion over the last 12 months, as well as from favorable filling station margins.

More growth is in the pipeline from the pending plan to convert a portion of the Trunkline gas system into a crude conduit carrying Bakken oil to the Gulf, from the eventual increase in gas shipments associated with the planned Lake Charles, Louisiana LNG export terminal and from the newly signed deal to export 930,000 MMBtu of natural gas per day for the next 15 years from Texas to Mexico.   

In other news, ETP is considering an “Up-C” IPO vesting some of its units in a publicly traded company that would create tax saving both for the company and (mostly) for partnership interests contributed to the corporate shell. ETP’s unit price rose 3 percent in April. ETP is a Buy below the increased target of $65.

EQT Midstream Partners (NYSE: EQM) reported first-quarter earnings above plan as a result of the bitterly cold winter and the resulting demand for gas transport from sponsor EQT (NYSE: EQT) as well as third-party Marcellus producers. Distributable cash flow totaled 38.9 million, providing robust 1.56x coverage ratio on the newly increased distribution.

The quarterly payout rose 3 cents to $0.49 per unit, 7 percent higher sequentially and 32 percent above the corresponding quarter in 2013. Management expects to continue boosting distributions by 3 cents per quarter until 2015 without any additional dropdowns from EQT. Growth will be supported by accretion from its Sunrise transmission line acquisition in 2013, organic growth projects and the newly announced $1.2 billion dropdown by EQT of the Jupiter gathering system. The latter deal, backed by firm 10-year capacity commitments by EQT, priced the transferred system at 9 times its projected annual cash flow. EQM said it would be immediately accretive to its distribution.

The partnership raised its DCF guidance for 2014 to between $164 million and $166 million, from a prior estimate of $148 million to $153 million. EQM’s unit price rose 6.7 percent in April and has rallied more than 60 percent since we recommended the investment in August. #7 Best Buy EQM should be accumulated on dips below $70.

Genesis Energy (NYSE: GEL) generated total available cash before reserves of $53.4 million in the first quarter, up 9.7 percent from the prior year’s period. That resulted in a sound 1.1x distribution coverage ratio. The partnership raised its distribution $0.015 to $0.55 per share, its 35th consecutive quarterly boost representing year-over-year growth of 10.6 percent.

Pipeline margin rose 11 percent as new offshore wells in the Gulf of Mexico boosted the flows through the partnership’s gathering pipelines. Busy refinery customers boosted sulfur removal margin 16 percent.  And while the supply and logistics segment margin was flat amid continuing drag from the diminished trade in heavy fuel oil, costs in that business have been slashed to the point where it won’t be a drain in the future. The unit price rose 2.6 percent in April. Things seem to be looking up, but we’d like to see more than one good quarter in a row. GEL stays a Hold.

Kinder Morgan (NYSE: KMI) reported first-quarter cash available for dividends rose 12 percent to $573 million. The company is on pace to meet or exceed its annual goal of $1.78 billion in cash available for dividends. The quarterly dividend was raised by a cent to $0.42 per share. KMI announced earlier it plans to declare dividends of $1.72 per share this year, an 8 percent boost from 2013.

Kinder Morgan also announced a roughly $2 billion dropdown, split almost equally between cash and debt, of a western gas pipeline, Gulf LNG terminal and Colorado gas storage assets. El Paso Pipeline Partner LP’s (NYSE: EPB) price for this grab bag came out to 9 times the assets’ 2013 EBITDA, which is below EPB’s own Enterprise Value/EBITDA multiple of 10.5, allowing Kinder Morgan to assert that the transaction would be immediately accretive to EPB. But since KMI stands to skim a nice stream of incentive distribution rights from these assets’ future cash flows, and since the unit issuance needed by EPB to finance the deal will boost its IDR tab even more, KMI looks to be the clear winner from this transaction with its affiliate.  Buy KMI below $37.

Kinder Morgan Energy Partners (NYSE: KMP) saw its cash earnings in the key gas transportation segment rise 12 percent year-over-year after excluding the boost from last year’s acquisitions. The bitterly cold winter played a part, boosting KMI’s volumes 5 percent year-over-year in the first quarter, and to 33 percent of total US demand in January.

More importantly, KMP and El Paso Pipeline Partners (NYSE: EPB) inked new pacts (averaging 15 years) during the quarter for the transport of natural gas totaling 2.8 billion cubic feet per day, representing more than 10 percent of their combined recent shipment volume.

Deals have been signed with the fast-growing Marcellus and Utica driller Antero Resources (NYSE: AR), which will be shipping to the Gulf Coast, as well as with a liquefied natural gas export venture in the region and with distributors across the Southeast.

Founder Richard Kinder was extremely upbeat about the prospects of transporting Marcellus gas into New England and Eagle Ford’s into Mexico, which he said could double its imports of US gas over the next decade.

Yet the unit price remains only marginally above the two-year low hit in March amid concerns tied to slowing distribution growth and the rising tide of incentive payments to KMI. We like KMP’s chances of overcoming this skepticism, but continue to prefer KMI, where much of founder Richard Kinder’s fortune is concentrated. For now, KMP remains a Hold.

Magellan Midstream Partners (NYSE: MMP) roughly doubled its net income, operating profit and distributable cash flow year-over-year, attributing the quarter’s “exceptional strength,” in part, to strong demand for the gasoline and distillates in the markets it serves, notably in Texas, as well as last year’s 4.6 percent pipeline tariff increase. Magellan raised its annual distributable cash flow guidance by $80 million to $810 million, while sticking to the promise of per-unit distribution increases of 20 percent this year and 15 percent in 2015. The refined products operating margin grew by $94.8 million to $255 million. Crude operating margin increased by $40.6 million to $63.3 million thanks to the rising volume on the Longhorn Pipeline, reversed in the second quarter of last year to carry Permian Basin crude to Houston.

On April 24, MMP increased its distribution to $0.6125 per unit, representing a 21 percent boost year-over-year. The unit price increased 2.6 percent last month. The #2 Best Buy on our list hit a new record after announcing the results this week. Buy MMP on dips below $77.

MarkWest Energy Partners (NYSE: MWE) reported adjusted EBITDA grew 33.8 percent to $187.6 million compared to the prior year’s quarter.

In April, the partnership announced a 1 cent bump to its quarterly cash distribution, bringing it to $0.87 per share, its 14th consecutive quarterly increase. The distribution is payable on May 15 to unitholders on record on May 7 and represents a 4.8 percent increase from the first quarter of 2013. DCF rose 35 percent to $148.4 million, providing distribution coverage of 1.05x for the partnership’s announced total distribution of $141.4 million.

During the quarter, the partnership placed three major infrastructure projects into service: a 200MMcf/d processing plant in the Granite Wash, a 200 MMcf/d processing plant in the Utica Shale, and a 60,000 bbl/d fractionator in Ohio. MarkWest also announced it is developing two 200 MMcf/d processing facilities in the Marcellus Shale.

The unit price pulled back 3 percent in April. Buy MWE up to $70.

Navios Maritime Partners (NYSE: NMM) reported a 14.4 percent increase in first-quarter time charter revenue, its fleet of 25 bulk carriers and 5 container ships significantly expanded from the 21 dry bulk carriers in service a year ago.

Settlement of a default insurance claim on an insolvent customer produced a one-time windfall of $30 million, much of which was immediately socked away in reserves. Excluding the settlement, EBITDA was up 5.6 percent year-over-year. Available cash for distribution rose 18.3 percent to $35.5 million.

The fleet is 85 percent booked for this year and 52 percent so far for 2015, with the partnership committed to maintaining a payout currently yielding 9.6 percent through the end of next year. NMM is a Buy below $17.70.

NGL Energy Partners (NYSE: NGL) will report fiscal fourth-quarter 2014 earnings on June 13. On April 24, the partnership announced a 2-cent increase to its quarterly distribution to $0.55125 per share, or $2.205 annualized. The bump represents a 15.4 percent increase from the prior year’s period and is consistent with management’s guidance of 15 percent distribution growth in 2014. NGL also reaffirmed its fiscal 2015 EBITDA forecast of $425 million.

The unit price hit an all-time high of $40.43 on April 14 but has since pulled back below $39. NGL is a Buy up to $44.

Oaktree Capital Management (NYSE: OAK) reported adjusted net income fell 26.5 percent to $246.9 million. Total segments revenues fell 11 percent to $527.8 million. Distributable earnings fell 21 percent to $233.1 million, or $1.41 per share.

The drop-off had been expected given the cornucopia of incentives realized a year ago, when the alternative asset manager began liquidating a particularly lucrative distressed-debt fund deployed at the height of the financial crisis.

Longer-term business prospects continue to look bright. Assets under management (AUM) reached record highs of $86.2 billion in the first quarter, compared with $78.8 billion at the end of the first quarter of 2013 as a result of market-value gains and net inflows to open-end and evergreen funds. Management fee-generating AUM grew 11.4 percent to $74 billion.

The company announced a $0.98 quarterly distribution payable on May 15 to shareholders on record as of May 12. And while the announced payout will push the trailing 12 months yield to an impressive 8.5 percent, management warned of lower earnings over the next couple of quarter because of timing issues related to fund liquidation and the recognition of incentives.

That caution has helped push the unit price to a 52-week low, erasing the once double-digit return we had seen on the name since our September recommendation. Oaktree shed 8.9 percent in April and is down only a little less than that in 2014.

But though distributions are variable and headed lower in the near term, this is still an incredibly lucrative business over the full span of the business cycle, one still selling at a modest 10 times next year’s forecast earnings.

The same market-timing knack displayed by management in cashing out a significant insider equity stake in the firm near the all-time high in early March should serve Oaktree unitholders very well over the long term as the firm’s funds time their own investments in distressed debt and European real estate. OAK remains a Buy below $52.

Oiltanking Partners (NYSE: OILT) reported adjusted EBITDA jumped 57 percent to $25.7 million, while revenue rose by 49 percent to $60 million. Despite the negative effect of Houston Ship Channel closures due to fog and a barge accident, throughput fee revenue managed were up $12.8 million year-over-year.

Citing the higher expected costs related to its dock expansion project, the partnership raised its 2014 capital expenditure estimate by $20 million to a range of $250 million to $270 million.

OILT announced a 2.5 cent boost to its cash distribution to $0.495 per share compared with the fourth quarter and a 22 percent increase year-over-year.  This also represents its tenth consecutive quarterly increase since the company went public in 2011. The company’s DCF of $37.34 million provides a comfortable distribution coverage ratio of 1.69x.

Despite the rapid growth, distribution increases have lagged the strong rally in the unit price, which has doubled over the last 15 months and has capped the current yield at 2.3 percent. The units have rallied 8.2 percent in April and are up 38.7 percent so far in 2014 as domestic crude supplies accumulating in the Gulf region feed strong demand for storage facilities. Buy OILT on any dips below $75.

Regency Energy Partners (NYSE: RGP) reported first-quarter adjusted EBITDA rose 71 percent to $205 million, driven by increased volumes in its gathering and processing segment following last year’s PVR acquisition. First-quarter distributable cash flow came in at $182 million, $82 million higher than the same quarter last year.

Management expects PVR and its legacy assets to drive significant growth into 2015.

On April 28, Regency announced it will increase its quarterly distribution to $0.48 from $0.475 in the fourth quarter of 2013, an increase of 4.3 percent year-over-year. The distribution will be paid May 15 to unitholders on record on May 8. The distribution coverage stands at 1.02x, and Regency continued to guide for distribution growth of 6 to 8 percent in 2014, aided by growth of its gathering operations as well as of the Lone Star fractionation joint venture in which it holds a 30 percent stake. We’d like to see more evidence that the integration of PVR’s assets and the pending purchase of the midstream business of Eagle Rock Partners (Nasdaq: EROC)  will benefit Regency’s unitholders as much as Regency GP Energy Transfer Equity (NYSE: ETE), which will see its incentive distribution rights increase considerably as a result of extra equity issuance by Regency. For now, RGP remains a Hold.

Spectra Energy Partners (NYSE: SEP) reported DCF for the first quarter rose by $251 million to $324 million. The partnership announced its 26th consecutive quarterly distribution increase to $0.55625, up 10.9 percent from the $0.50125 payout in 2013. DCF coverage ratio equated to 1.6x.

Better-than-expected performance of Express-Platte system, record winter demand for gas transport and increased earnings from expansion projects contributed to the strong quarter.

The partnership’s natural gas pipelines saw record volumes due to the harsh winter weather.  The unit price gained 10.4 percent in April. Management stood by its previously laid out long-term goal of increasing the distribution 8 to 9 percent annually through 2016, while leaving open the possibility of a higher target is the strong demand for gas transportation into the Northeast and crude shipments out of the Bakken continue. With the yield currently at 4.2 percent SEP remains a Hold, but we’re incrementally more likely to view a decent pullback as a buying opportunity, so long as the partnership’s growth prospects remain bright.

Sunoco Logistics Partners (NYSE: SXL) reported first-quarter adjusted EBITDA fell 11.9 percent to $208 million.

Pipeline throughput for the quarter rose to 2.04 million bpd, up 29 percent from a year ago thanks to expansion projects supporting the demand for Western Texas crude oil. Adjusted EBITDA for the Crude Oil Segment rose by over 50 percent million to $93 million. Terminals also performed well as the completion of the southern leg of the Keystone pipeline project between Cushing, Oklahoma and SXL’s terminal in Nederland, Texas boosted revenue.

The fly in the ointment was the crude marketing business, which saw margin collapse to $12 million from $112 million a year ago as a result of diminished regional differentials. But management expects enough of a rebound this quarter to keep that segment’s profits for the first half of 2014 roughly flat with the second half of 2013.

In any case, despite the year-over-year dip, distributable cash flow was sufficient to permit a 21 percent year-over-year increase in the distribution with 1.52x coverage. This is the growth pace management is targeting in the coming years as well as it launches liquefied petroleum gas exports from Nederland staring early next year as well as from its Marcus Hook terminal near Philadelphia.

Sunoco Logistics announced a two-for-one split of its common units effective June 12 for unitholders on record as of June 5. The unit price was flat in in April. Ranked third on our Best Buys list, SXL should be bought below $91.

Targa Resources (NYSE: TRGP) reported net income available to common shareholders for the first quarter was $19.6 million, up 46.3 percent from the first quarter of 2013. Net income per share was $0.47 compared to $0.32 a year earlier. That windfall was powered by the strong performance of the Targa Resources Partners (NYSE: NGLS) operating MLP affiliate. The partnership’s crude oil gathered surged by 137 percent to 75,000 bpd in the first quarter, as it continues to expect double the volume of crude gathered in 2013.

NGLS’ EBITDA nearly doubled year-over-year, paced by record operating margins in its Logistics & Marketing division and Field & G&P segment, which grew 79 percent and 75 percent respectively.

DCF for the partnership came in at $189 million, which equates to a solid 1.6x coverage of the total $121.3 million in distributions it paid out during the quarter.

NGLS expects 2014 EBITDA to grow 30 percent to 40 percent over 2013 levels.

On April 15, the partnership announced a cash distribution of $0.7625 per share, or $3.05 annualized. This new payout represents a 2 percent increase sequentially and 9 percent year-over-year. 

TRGP raised its quarterly dividend by 7 percent to $0.6475 per share from the fourth quarter of 2013 and 31 percent from a year ago. TRGP’s management is targeting dividend growth of more than 25 percent this year. Continue buying #6 rated Best Buy TRGP on dips below $105. NGLS is a Buy up to $63.

Teekay LNG Partners (NYSE: TGP) will report first-quarter earnings on May 15. TGP’s unit price rose 2.3 percent in April. Buy TGP up to $46.

UGI (NYSE: UGI) reported first-quarter net income of $214.4 million, or $1.84 per share, up from $180.7 million, or $1.57 per share a year ago. The improved net income was due to strong performance at the company’s Midstream & Marketing, Gas Utility and AmeriGas units.  

On April 29, UGI boosted its quarterly dividend to $0.295 per share from $0.2825 per share, a 4.4 percent from the prior year’s first-quarter quarter. Shares of UGI rallied 3.8 percent last month and hit an all-time high of $47.35 on May 1. UGI rates a Buy up to $50.

Vanguard Natural Resources (NYSE: VNR) reported adjusted EBITDA for the first quarter rose 24 percent to $89.9 million, boosted by acquisitions. DCF available to common shareholders rose 1 percent to $41.8 million, or $0.52 per share, hampered by weather-related delays in the Woodford shale, and drilling delays caused by the prior owner of its minority interest in the Pinedale gas field in Wyoming . This provided a disappointing 0.83x coverage of Vanguard’s distribution.

Management noted, however, that the production pace has already improved and guided for distribution coverage of 1.05x to 1.10x in the second quarter and a sequential production increase of at least 16 percent.

The unit price rose 4 percent in April. VNR is a Buy below $28.

Western Refining (NYSE: WNR) reported first-quarter net income rose 2 percent to $85.5 million, or $0.88 per share, due to a pre-tax hedging gain of $74 million. Excluding that gain, net income of 44 cents per share came in 4 cents above analysts’ consensus estimate.

Revenue surged 71.4 percent over the same period in 2013 following last year’s acquisition of the general partner and minority limited partner interests in fellow refiner Northern Tier Energy (NYSE: NTI). The CEO said the second quarter is “off to a strong start,” with the company’s refineries running at capacity and Western’s margins benefitting both from higher gasoline prices and discounts on Permian crude as production in that basin ramps up.

The 26-cents-pe-share dividend WNR declared last month equates to a 2.6 percent annualized yield at the current price, yet it amounted to less than a tenth of the adjusted EBITDA earned during the period.

Shares of WNR jumped 8.3 percent last month, and hit a 52-week high of $44.50 on May 2. WNR is a Buy below $46.

Williams (NYSE: WMB) reported a 25 percent increase in adjusted segment income from continuing operations for the quarter, alongside a 14 percent increase in segment margin. Net income slipped as a result of $86 million in charges for the effectively mothballed Bluegrass Pipeline project, Williams suspending capital spending on the project in the absence of sufficient shipper commitments.

Management pointed to a multi-billion pipeline of more attractive projects, which will increasingly be financed by its affiliated MLP Williams Partners (NYSE: WPZ), freeing up the parent’s capital to continue dividend growth forecast at 20 percent annually through next year.

Shares of Williams gained 5.5 percent in April and currently trade at an all-time high. #5 on our Best Buy list, Williams should be bought below $46.