Can Touch play > 24 bit or >44.1 KHz?

Very recently started to use my Touch to stream from LMS (in the past I just used it to listen to internet radio).

Rips of CDs work fine, but HD downloads (24 bit, 96Khz) will play for a few seconds, then pause, then play for a few seconds, pause and repeat.

Is this normal? I there a setting to tell LMS to down sample the tracks?

Thanks!
Nicholas