CANADIAN STOCKS TO WATCH

* Lake Shore Gold Corp. (LSG.TO): The gold miner said second-quarter production will be lower than its earlier estimates due to a change in mining sequence at its Timmins mine in northern Ontario, and lowered its full-year production target. [ID:nL3E7IJ1S5]

* First Quantum Minerals (FM.TO): The miner will list its shares in Zambia on Wednesday, its brokers said, becoming the first miner in Africa's top copper producer to list locally. [ID:nL6E7IJ0G7]

* Daylight Energy Ltd. (DAY.TO): The oil and gas explorer said second-quarter output was slightly higher than its expectations, driven by production from a second well in the liquids-rich Montney zone. [ID:nL3E7II3BO]

* TMX Group (X.TO): Maple Group Acquisition Corp, a consortium of Canadian banks and pension funds that has bid for the Toronto Stock Exchange operator said Canada's Competition Bureau is seeking more information to complete its review of the proposed deal. [ID:nL3E7II3A4]

* Chinook Energy Inc. (CKE.TO): The oil and natural gas explorer said it struck oil at the Doig exploration well in Red Creek area of northeastern British Columbia. [ID:nL3E7II371]

ANALYST RECOMMENDATIONS

Following is a summary of research actions on Canadian companies reported by Reuters. [RCH/CA]

* Arcan Resources Ltd ARN.TO price target raised to C$7.50 from $6.25 at National Bank

* Cequence Energy (CQE.TO) rating cut to sector perform from outperform at National Bank

* Emerge Oil & Gas Inc (EME.TO) price target cut to C$3.25 from C$3.50 at National Bank

* Legacy Oil Plus Gas Inc (LEG.TO) price target cut to C$19 from C$20 at National Bank

* Open Range Energy Corp (ONR.TO) price target raised to C$9.25 from C$8.50; rating outperform at National Bank

* Second Wave Petroleum Inc (SCS.TO) price target raised to C$3.25 from C$3 at National Bank

* Tourmaline Oil Corp (TOU.TO) price target raised to C$41 from C$35 at National Bank

* Trioil Resources TOL.TO price target raised to C$5.25 from C$6.50 at National Bank

* Twin Butte Energy (TBE.TO) price target cut to C$4 from C$4.25 at National Bank

* Waldron Energy Corp (WDN.TO) price target cut to C$4.25 from C$4.75 at National Bank