Pros: Small, lightweight, easy to use, great images
Matrix metering flaw
I'm not got to babble a lot of BS...but I've been shooting since I was a punk kid with a Kodak Brownie. And in the end, the only thing that matters is results. The D40 gives them. For the price (and they're getting cheaper), it's an excellent bargain. I've taken several thousand images since I bought this thing last May, and the only real complaint I have is the diopter doesn't quite adjust down to allow me to shoot without my glasses. Yeah, it's small. But I've got small hands. It's lightweight, too. Try packing an old Practika around all day, strapped around your neck. Only 6 megapixels? Pfft. Megapixels don't make a decent print. 8" x 10" prints come out great at 287 dpi. Sure, it may not be "pro" level, whatever that's supposed to mean, but the only thing that really counts is image quality.
Update: There is one other issue I've found with the D40 (as pointed out in Ken Rockwell's website review)...when using Matrix metering, the D40 has a habit of over exposing images 2/3 of a stop (more or less, depending on shooting conditions). This can be rectified by using the exposure compensation control, can can