As opposed to a DSLR, shopping for a compact camera is a relatively easy affair. There are a few basic rules that you need to know, firstly, megapixel don’t matter as much as you think they do. Instead, it is the lens that really matters, so, look for the kind of lens used, the focal length etc. Finally, consider other features like display resolution, low light performance, image stabilization and video quality. Based on all these criteria, we have put together a list of the best compact digital cameras:

1. Canon Power Shot SX260 HS – This Canon Power Shot camera comes with a 20x25mm ultra wide lens, backside illuminated CMOS sensor and Digic 5 image processor. Simply put, these are the some of the most advanced features in the world of compact digital cameras. This 12 megapixel camera boasts of excellent image quality and image stabilization. Additionally, it has a long zoom lens and it offers a variety of shooting modes. The Canon Power Shot SX260 HS is one of the best point and shoot cameras, one that should please both the amateur and the professional photographer.

2. Nikon Coolpix S9100 – The Nikon Coolpix S9100 has much in common with the Canon Power Shot SX260 HS. Both of these 12 megapixel cameras come with CMOS sensor and long zoom lenses. The Nikon Coolpix S9100 takes excellent photos even in low light thanks to its 18x zoom optical lens. For a camera that can easily fit into your pocket, the S9100 offers many automated modes. All you have to do is click a single button and you can have sharp and crisp photos under any conditions.

3. Sony Cyber Shot DSC-HX30V- This 18 megapixel camera is an absolute favorite among consumers with its high quality lens and performance. It has a significantly wide lens with improved auto focus speed and image stabilization. Additionally, it comes with built in Wi-Fi, improved GPS and Sony’s Clear Image Zoom, all of which make it a force to reckon with.

Besides these, there are several variants which are equally promising. Panasonic Lumix DMC-ZS20, Sony Cyber DSC-RX100, Canon Power Shot 92 and Fujifim Finepix Z800EXR come highly recommended. The truth is that there is very little separating all of these models and one just has to rely on personal choice as the last resort.

Canon PowerShot G1 X

When you’re after full manual control in a digital camera, there aren’t many options that aren’t big, bulky SLRs, but the G1 X occupies a near-perfect middle ground between the compact usability of a point and shoot and the manual control of an SLR. The price is a bit steep, but you’d be hard-pressed to find a better manual camera in a compact frame.

Olympus OM-D E-M5

While it’s not the most compact of compact cameras, the E-M5 has a very light weight magnesium body. Similar to the G1 X, it represents a compromise between compact and SLR; however, unlike the G1 X, the E-M5 features an interchangeable lens, though it does sacrifice some manual control and features a 4/3-inch sensor compared to the G1 X’s 1.5-inch. It, too, has a very high price tag, but it does come with one of the nicer lenses you’ll find on a compact.

Fujufilm FinePix X10

The FinePix X10 is a more affordable (though less feature-packed) version of the extremely popular X100. It shares many of the same design cues that made the X100 a hot product, though the X10 has a hard time living under its older sibling’s shadow. The X10 does still feature an excellent lens and a great overall design that keeps it very portable without sacrificing image quality.

Canon PowerShot SX260 HS

The SX260 HS is our currently top-ranked true compact digital camera. Unlike the others mentioned so far, the SX260 HS will fit easily into most pockets. Setting it apart from other compacts is its 20x optical zoom lens with surprisingly good image stabilization. It really does feature some of the best image quality available at this size and price, though it can sometimes struggle with low-light situations.

Canon PowerShot S100

The S100 is another very compact digital camera, even smaller than the SX260. It doesn’t feature the impressive 20x zoom lens found in the SX260, but offer many other compelling features such as HDR and RAW format support. In overall performance, it’s a significant step up, offering less shutter lag, better low-light performance, and faster continuous shooting. It’s one of the few compact cameras with better image quality than the SX260 and can often go toe-to-toe with the G1 X.

If none of our current top 5 compact cameras appeal to you, feel free to check out our full list. It’s full of excellent cameras for all needs. Sony’s Cybershot DSC-HX9V makes a compelling alternative to the PowerShot SX260, for example. Nikon’s Coolpix P300 competes well against the PowerShot S100, too. We’ve collected reviews for every popular camera on the market, and we can tell you exactly how they stack up to one another.