Oct 22 (Reuters) - Raymond James initiated coverage of five mid-tier Canadian gold producers, including Alamos Gold Inc , saying these companies offer investors an attractive alternative to the senior gold producers.

The brokerage started Alamos with a "strong buy," B2Gold Corp and San Gold Corp with "outperform" ratings.

It began Gammon Gold Inc and Aurizon Mines with "market perform."

All companies were keen on acquisitions, the brokerage said, but Alamos with low cash costs and the strongest balance sheet was most well equipped to make acquisitions.

For B2Gold, cash flow generation from its recent acquisition of Central Sun Mining Inc would allow it to further explore existing claims in regions including Colombia and East Russia, the brokerage said.

San Gold, which recently made some minor acquisitions of mining leases adjacent to its Rice Lake property as well as in Ontario, offered attractive growth profile and below average cash costs, it said.

For a list of the price targets, double click on (Reporting by Amit Kumar in Bangalore; Editing Ratul Ray Chaudhuri)