TZ7 vs SDR-S26GC video quality

[canon450D]

Hi I do not know much about video and the conflicting opinions at Comex did not help. Does the Panasonic TZ7 or SDR-S26GC(SD camcorder) produce better video quality? Forgive me if this seems a silly question but I am confused. The camcorder shd have better Video quality but TZ7 has a larger 1/2.33" sensor producing HD video while SDR-S26GC has a 1/8" sensor producing std definition video. I would really appreciate your views. Thank you very much.