With economies starting to reopen, now is the perfect time to dig for diamonds in the rough. 

Helping, we have news of vaccine development.

For example, Novavax just started its first human study of its COVID-19 vaccine. Initial results on safety and immune responses due in July 2019.

“Administering our vaccine in the first participants of this clinical trial is a significant achievement, bringing us one step closer toward addressing the fundamental need for a vaccine in the fight against the global COVID 19 pandemic,” said Stanley C. Erck, President and Chief Executive Officer of Novavax. “We look forward to sharing the clinical results in July and, if promising, quickly initiating the Phase 2 portion of the trial.”

Once we have a vaccine, COVID-19 concerns are likely to fade.  And oversold, battered stocks are likely to pushy aggressively higher.  Here are two that are just beginning to recover.

Penn National Gaming Inc. (NASDAQ:PENN)

With economies reopening, casino stocks are again showing signs of life. Like most casinos, Penn National Gaming (PENN) had a tough first quarter with the coronavirus. But, according to CEO Jay Snowden, “The company’s long-term growth strategy remains intact.”

Better, it could do even better with its stake in the Barstool app, which will help it expand into online sports betting and entertainment. According to Macquarie analyst Chad Beynon, “the app database can be worth $10 to $25 per share of equity over time.”

Delta Air Lines Inc. (NYSE:DAL)

The worst of the shutdowns may now be over for airlines.

“I think we’re very, very close to an inflection point in terms of business activity, and probably about a month away in terms of employment,” said White House economic adviser, Kevin Hassett.

In addition, according to MarketWatch, “The number of airline passengers screened per day has risen to around 200,000 from lows of 87,000 in mid-April. This offers ‘flickers of hope’ for the group, says Raymond James airline analyst Savanthi Syth.”

That’s great news for grounded airlines, many of which are also seeing solid insider buying.

At Delta (DAL) for example, insiders bought $640,000 worth of stock between $22 and $22.70 a share in late April and early May.