In 2005, when I have built my first HTPC, I have got an audio card called Maya.
It had PCI timing issues. I had to change a motherboard with on-board s/pdif and never had any problems since.
You can do analogue audio with the same quality as digital, after all sound will get converted to analogue in order to get to the speakers.
I don't think that it is matter of what is better, but what is simpler
