Good entry level cd?

Does the DVD have digital outputs?

If so, pick up a decent used DAC and just use that with the DVD player for the best sound improvement for the $$$s.

Quickly scouring the DAC and CDP classifieds, I'm discouraged that your budget will allow for much of an upgrade. There is a Rega Planet in the ads for $300. If you're determined to upgrade now, I would take a look at the Rega (I have no relation to the seller). Otherwise, I would strongly advise trying to save at least $500 or so and then began your search.

Cambridge CD players are good at this price range used.