The goal should be to keep the Digital to Analog to Digital conversions to a minimum. If you send analog from the Oppo and then supply bass management or room correction, you've just introduced an extra A to D to A step.
IMO, this makes sense, Oppo send analog, AVR in Pure Direct. Or, Oppo sends digital, AVR applies bass management and room correction (which is done in digital domain), AVR performs D to A.
The room+speakers make such a huge impact on sound when compared to different DACs, that unless someone has a superlatively sorted out room with an exceptionally accurate speaker setup, it is a waste of money to chase after high end "transports" and external DACs, etc.