when I lived in Granada, to travel to Madrid was either 6-7 hours by slow train, or 1 hr by bus to Malaga then 2.5 hrs by fast train, or... 5 hours by first class bus service directly from Granada. The first class bus included food and what seemed to be unlimited beer and wine for like 30 euro. No comparison. This is my favorite option for point to point travel in Iberia if there is no fast train nearby.

ps:I am in vilamoura for that last night tonight, if you want to grab a drink ping me ;)