Advice on a new Digital Audio Player with Coaxial Digital Out

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I have over 100GB of Mp3s but currently acquiring the same songs in FLAC. Funny enough my Ipod Classic has just broke so looking to buy a new digital audio player that can play the new FLAC tracks and mp3s that I can't get in that format. This will mainly be used with standard wired headphones to play in the gym.

However I recently bought a Marantz PM6007 Amplifier and Dali Oberon 7 speakers and from time to time would like to connect the new player to it with the best possible quality. I used to connect the IPOD to the Aux or Audio Out and sounded great. I also have my PC connected to the amplifier via the optical digital connection.

1. Is it my understanding that the best way would be to connect it via the S/PDIF Coaxial Cable?

I have been researching new DAP players but can only afford up to around £300 possibly stretch to £400. The problem is they don't seem to specify if they have an S/PDIF connection or not. Was looking at the FIIO M3 Pro, M5, M6 and M7. It does state that the M5 does but the device itself is too small for me. Was also looking at Sony NW-A55 and NW-A105 but also read somewhere that it struggles a bit with album art. I had this problem with the IPOD and had to remove all the Album Art. There is also Hiby R3 Pro.

I do not use Spotify, Tidal or WIFI Streaming and don't really need Blutooth either. Looking for something that has a decent sound that I can also connect to the amplifier. I listen to mostly all genres of Metal but also like Dance and 80s bands such as U2. So something with a good punch to it.

2. Some DAPS state that they have a Line Out. Could this be used to connect to the amp and would it be as good as a Coaxial output?

3. Could someone suggest some good DAPS that would meet the above criteria?
 
Line out would mean your player is decoding. Coax or optical means your amp would be. Depends which has the better DAC chip, but line out will likely be better if you get a decent player.
Take your pick really.. lots to choose from. Fiio, shanling, cowon plenu, Sony, astell&kern if you’re feeling flush.
 
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