I came to the same conclusion with my Toshiba SD-4700 DVD/CD/DVD-Audio player. Even though the Toshiba has 24/192 DAC's, the digital connection sounded better to me. When I use the analog out for DVD-audio, the analog connections sound much better than the (downrezed)digital connection.

I'm still trying to decide whether to change from my Parasound amp to the Outlaw 755. Decisions, Decisions.