Benchmark downgraded its rating on IMAX Corp. /zigman2/quotes/205456197/composite IMAX +3.31% to hold from buy on Tuesday, citing concerns about the impact the coronavirus that causes COVID-19 is having on the company's financial performance. "The market environment remains implausibly challenging near-term, compliments of COVID-19 that has forced the closure of theaters in China, Europe and United States and/or negative influence movie patron frequency behavior within impacted regions," analyst Mike Hickey wrote in a note to clients. "President Trump's updated guidelines call for no groups bigger than 10, which could effectively close all domestic theaters, a guideline that could last until August." Hickey noted that Regal Theaters, which is owned by the UK's Cineworld /zigman2/quotes/206525056/delayed UK:CINE -0.99% has immediately announced it would close all of its cinemas on Tuesday, and said he expected other chains to follow. Movie theaters in multiple states including Connecticut, Louisiana, Maryland, Michigan, New Jersey, New York, Ohio, Pennsylvania and Washington have been ordered to close, said Hickey. "We are cautious over increased film development/release delays as we have witnessed from both Hollywood studios and OTT providers from the growing necessity for social distancing," he wrote. IMAX shares were not yet active premarket, but have fallen 60% in the last 12 months, while the S&P 500 /zigman2/quotes/210599714/realtime SPX +0.06% has fallen 15%.