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There was a time where I would agree that the megapixel rating is a good indication of how good a camera is. But now with so many generic cameras out there, I'm gonna say "NO!"

Just cause something can record at 5MP, doesn't mean that it can do it well. There are many 3MP cameras that will outperform the cheap 5MP cameras if you're just looking to do regular 4x6 photos or take pics for the internet in terms of color accuracy, sharpness, etc.
 

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If your still looking for a camera I'd suggest tis one:

Canon S2 IS $300 at amazon.com


I just bought one for $500 here in Canada (with a free 512kb card) and a very happy with it! 12X zoom is the best, and the image stabilization actually works. There is a new model the S3 IS, but the S2 is good enough and will be found cheaper as time goes by.
 
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