I have finally taken the effort to compare the sound between the AES/EBU and the Coaxial output of the Stello U3.
I hooked both cables from the Stello U3 directly into my Eastern Electric DAC. I could switch between the two inputs on-the-fly via the source selector on my DAC.
The cables used are the DH Labs D110 as well as the Monoprice coaxial rca cable.
Result: I really have a hard to picking up the difference between the coaxial and aes input. The coaxial is ever so slightly warmer and the AES/EBU is slightly more detailed. This is upon utmost scrutiny and constant repeating of the same portion of a single track. If I were to have any input switched at random, I will not be able to tell which input is being used.
Conclusion: I think that the coaxial output on the U3 is every bit as good as its AES/EBU output so potential buyers should not fret about not being able to fully maximize the U3 converter by tapping onto its AES/EBU feature.
I have had the Stello U3 for some time now and I can say that I really really like it. I don't find the Audio-GD DI with PSU any great performer but for this U3, I think it will be here with me for a long time =)
EDIT:
After owning the U3 for an extended period of time, I re-run the above comparison again. This time round, I have notice a large difference between the coaxial and the AES/EBU.
I am not sure if I should attribute that difference to (1) the different cable used for coaxial and AES, (2) the difference between the inputs on my DAC, or (3) the difference between the outputs on the U3.
Edited by uelover - 2/21/12 at 2:26am