Which is better? Depends on what you want to do with it.

If you simply want the very best sound quality possible, then vinyl is best. It also is the only way many old and intersting recordings are available.
If you've got an eight hour train journey ahead of you that day, then the portability of an Ipod or similar is very useful.

But vinyl is only going to sound better than CD with records in good condition, and an expensive stero system set up properly , in an otherwise quite room. You may have the same recording on both formats, but most of the time, you'll listen to the cd.