With just a little work they can make a decent offrad trail rig. The rear has great articulation without the rerar sway bar. Disconnect the front and they float over the terrain.
The 4.3L engine has plenty of power. Keep an eye on the intake gaskets. Dex eats them up. Make sure it has been flushed out and changed to green coolant.
29" offroad tires are as big as you can go on the stock vehicle. If it is geared with the 3.42 , that may be as big as you want to go. If it had the optional 3.73 ratio, 30" tires might be worth a look, but that will require installing a 2" body lift.
There are no good suspension lifts for this platform. Don't waste time or money. Adjust to the maximum Z-height. Add a leaf to the back or kit the spring pack to get rid of the saggy rear and be happy.
Overall a good inexpensive adventure vehicle. Cheap to own and repair. It will never be a killer rock crawling animal. It has limitations. It will get you "out there" and back though.
This site is a wealth of information :
S-10CREWCAB.NET
Primary focus is on the crew cab trucks, but most of it applies to all the s-series platform.