CD’s/digital vs is classic example of trading quality for convenience. No digital is not better. Even at the highest sample rate and no compression. Assuming a very high end cartridge/stylus. Not a nearly indestructible DJ stylus.
The upper limits are (1) the human listener and (2) the circuitry between the cartridge and the speaker. Even solid-state amplifiers compromise the quality; at concerts they still use vacuum tubes due to the inherent dynamic range.
Bottom line is yes, a physical model of the sound waves (vinyl) is the most faithful way to record, but the human listener will not notice in a typical setting.