** Macquarie sees Lotus Resources' LOT.AX governance and organisational quality improve as the Australian uranium explorer completes board transition

** LOT last week finalised board transition with appointment across management levels over the past year

** Macquarie says improvement in governance as LOT transitions to uranium producer

** LOT cheapest uranium stock in coverage; re-rating will happen if Kayelekera project in Malawi can be brought back successfully - Macquarie

** Brokerage keeps "outperform" rating on stock, with price target of A$0.380

** LOT shares down 2.9% at A$0.1625 on Tuesday, lowest level since March 27, 2023

** Falls as much as 8.8% - its biggest intraday pct drop since January 28

** LOT down 18.8% this year, including the day's moves

(Reporting by Sameer Manekar in Bengaluru)

((Sameer.Manekar@thomsonreuters.com;))