Newegg going downhill? Doesn't look like it to me.
First off, quite often they charge a good amount of shipping cost. I think there's a lot of profit in that.
Then, they stopped extended warranties. I used them all the time, dirt cheap for a year of warranty. Have sent back stuff that their warranty covered, and there's no way this could be economical at the low price they used to charge.
Lastly, their prices are not always the lowest, and often just average. They don't need to compete on price too much because they have a good rep.
In summary, I think they're solid, and will be around for a while yet.