Yeah, there's a degree of compression, but compared to MP3 it's minimal indeed, and its data compression, not audio compression, and is lossless when reproduced. Audio compression depends very much on how the producer records the album, and a badly produced one is more apparent on CD because of the greater dynamic range, and a bad one can sound dreadful. The same, badly produced album can sound less bad because vinyl is very poor anyway at reproducing the frequencies most affected, so the effect to the listener is less pronounced.
Dynamic losses from the manufacturing and the playback reproduction processes on vinyl are huge, but also significant noise and very significant degradation with repeated use, not to mention inaccuracies with relying an an analogue motor to rotate the assembly at a precise speed. In terms of accurately reproducing an audio signal at any point in the spectrum vinyl doesn't compare, although I absolutely, completely, understand the appeal to enthusiasts.
MP3s, now I've mentioned them, are hideous things. I'm no audiophile, but I love music sufficiently that I can't listen to it bastardised in that way.