Net income decreased to -$548.5 million from $42.8 million since the same quarter last year, significantly underperforming the S&P 500 and the pharmaceuticals industry. Return on equity also greatly decreased, a signal of major weakness within the corporation. EPS declined by 1,350% compared with the year-earlier quarter, though the consensus estimate suggests that the company's two-year trend of declining EPS should reverse in the coming year. Revenue fell by 34.8% compared with the year-ago quarter. Shares are down 26.6% over the year, though the performance of the broader market has been even worse. 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 Plains Exploration & Production ( PXP), which engages in the acquisition, development, exploration, and production of oil and gas properties, from hold to sell. This rating is driven by the company's deteriorating net income, generally weak debt management, disappointing return on equity, weak operating cash flow and generally disappointing historical performance in the stock itself. Since the year-ago quarter, net income fell from 80 million to -$1.6 billion, significantly underperforming the S&P 500 and the oil, gas and consumable fuels industry. The company has a 1.2 debt-to-equity ratio, which is high relative to the industry average, suggesting a need for better debt-level management. It maintains a quick ratio of 0.5, clearly demonstrating its inability to cover short-term cash needs. ROE has greatly decreased since the same quarter last year, a signal of major weakness, and net operating cash flow fell by 25.8% to $224.5 million.