I just recently acquired a new Savage 25 LTWT Varminter in 17 Hornet. I expect I will do some coyote hunting with it, but likely will use it more on groundhogs. However, I expect that in general I'll be using it more at the range and for long range plinking at friends' places than for serious high frequency varminting.
I don't think there's any doubt that the .204 would be a superior cartridge for coyotes; the bullets are heavier. Here are the factors that I considered when choosing the 17 over the 204:
- barrel life will be significantly longer than for the 204
- cost to reload and report (that is how loud it is) will be less
- I have a sentimental affinity with that tiny little hornet case; I had a 22H years ago and always loved it. It's just so darn cute.
- I expect that 17 cal bullets and hornet brass will always be available (the 17H AI goes back a long, long ways), where I could see the .204 fading into oblivion in the future as a possibility; it's a terrific cartridge, but a lot of terrific cartridges have faded away over the years
Downsides to the 17H:
- it's not a true long range cartridge; this is not a deal breaker for me as I'm not a big fan of the notion of shooting at living creatures much beyond 300 yards in general, whether they're little or big critters.
- I expect loading those tiny little bullets into brass will present it's own challenges
- I'll have to limit my coyote shooting to headshots at over 100yds or so, based on other peoples' experience. No problem, I wouldn't try to take a coyote over 200yds with this little cartridge and the accuracy is certainly there for reliable headshots (or clean misses) out to that distance.
So I'd encourage you to try to be clinical about how you'll most typically use your new varminter and make your decision based on that; in either case you'll end up with a sweet shootin' rifle. Good luck.