Does Mpeg-2 or Divx produce better quality picture recording?

personally i prefer the DivX2 format, sometimes when you use the mpeg-4 format the encoder does not keep the original aspect ratio....but I'm not an expert thats just my opinion.

The quality of the picture recording depends on many more thing other than codec like - Source quality, resolution, bit-rate and other things.
But if all the other things are constant, divx will give a better quality output compared to mpeg-2.
But make sure the tuner that does divx2 is recording at same resolution & bit rate if not better as the others. Else the results can be bad compared to others also.