I think what you mean to say instead of component is analog....
The biggest difference is what device is doing the audio processing. That blu-ray player is plenty capable of doing the job and will allow you to take advantage of the new formats. I personally like analog connections better, but can't even begin to tell a difference. I "want" to though.
I would give it a shot and see what you think. The new formats will be nice to have... Just know in your mind that it will be better and your bass will be richer and it will be...