Huntington and Newport are both gorgeous, just different. Huntington has a long stretch of public beach with no houses between the highway and the sand/water. Makes for a nice drive (windows down, smell the fresh salt air). Also a nice pier area with laid-back surf-city vibe.
Newport has beautiful beachfront homes as the PP stated, plus Balboa peninsula and island, with a great little beach-town feel.
I think it depends on what you want. If it's a great drive and time on the sand, I'd vote Huntington. If you want to stroll around and window shop, Newport's a good bet.
The San Diego beaches are great too, but probably not worth the drive when you have the OC beaches so much closer.
PHXscuba,
... wishing she was smelling the salt air along with you ...