I had one. It's not -that- bad... when you consider that it's $5.
The leads are pretty bad, and it doesn't have an audible continuity setting, which is the most important thing to me.
It can be used for basic tasks. Seeing if capacitors work, measuring rough voltage and current, checking continuity (on the lowest resistance setting).
The measurements come out different each time, even on the same component. That's especially true with diodes. And they're not horribly accurate to begin with.
If you're looking for a cheap multimeter, maybe try this one:
http://www.sparkfun.com/products/9141 (... Sparkfun is becoming my favourite eStore if you can't tell).
It won't measure transistor hfe, but to be fair, that's a pretty complex measurement anyhow. Varies by the current into the transistor (at the base), so the meter would only be measuring it at one point. And with modern transistors, the datasheet should be good enough. If it's a Ge, you'll need a better method to test it. I'd suggest your ears.