Latex has been working fine from the start and I don't remember doing anything else than installing the packages required for latex from Ubuntu's packages and adding the paths in Moodle's config.
When I configured the Cherokee server nearly three years ago, it was required to work ASAP to replace the Windows server where Moodle was previously running on. Since then, I didn't had time to do a comparision with Apache on the same hardware and also, you know, if it works, don't touch it .
The Windows server was running Apache and it had severe stabilty issues and with 2 GB of RAM it had hard times with more than 30 concurrent users. I suspect the main problem was a bad configuration, but migrating to a clean server configured from the ground up was the best solution. Now, we not only have a good performance, but also very good uptimes.