Naturally, the overall market trend is bound to be a significant factor, and in one sense, the stock's sharp decline last year is a positive for future investors, making it cheaper (in proportion to its earnings over the past year) than most other stocks in its industry. But due to other concerns, we feel the stock is still not a good buy right now. We've downgraded athletic footwear retailer Foot Locker ( FL ) from hold to sell, driven by its deteriorating net income, disappointing return on equity, poor profit margins, decline in the stock price during the past year and feeble growth in its earnings per share. Net income fell from $85 million in the year-ago quarter to -$126 million, significantly underperforming the S&P 500 and the specialty retail industry. ROE is also lower than it was in the year-ago quarter. Foot Locker's 28.7% gross profit margin is lower than desirable, though it has increased since the year-ago period.