I'd go with S-Video out of simplicity, I don't think most people would notice any difference, especially if it's not an extremely high quality HDTV. You can check out
this site or
this thread at AudioReview.com. Basically though, compnent is a better connection (capable of more bandwidth) but without the extremely high resolution of HDTV, you aren't going to notice any difference, which means S-video would probably be a better choice just because it's less cables to deal with.