The .204 has two short comings. Both were given to it by it's creators.
1] 1-12 twist, that is to slow for 40gr and above bullet weights. It should have been a 1-10 twist.
2] 90% of the bullets available in .204 are made for varmints. That is, chucks, PD,s crows and such. Hornady, one of the creators, makes a 45gr soft point that would be great for coyotes but it needs a 1-10 twist not the factory 1-12.
There are bullets to be found and you can make it work for coyotes. It just won't come as easy as it will with other offerings.
The .204 is a fine little cartridge for what it was intended for but coyotes are not one of them as it is currently offered.
If you really want a .204 Ruger, do yourself a favor and build a custom with a faster twist. It will make all the difference.