I've now had experience with 2 different K2s with ranchos. Oddly, they are not the same. My 15 SLT AT had 18" wheels and ranchos. I really thought it rode fine. My 18 LTZ Z71 has 20" wheels and ranchos. It seems to feel a bit nervous to me. My 15 I bought used at 28k miles and my 18 I bought new last weekend. I wonder if the sidewall height difference between the 18s and 20s are making a difference or if the newer shocks are just not as good as my older one were.
I have Bilstein 4600 on my 2000 Z71 and they are fine, but I wouldn't rave about them. I also have Bilsteins on rear of my 2000 Camaro SS and Koni adjustables on the front. Talk about night and day over stock. The Camaro stock rode and floated like an old Caddy. Now, I autocross it and do track days. It's great fun and just feels right.
Anyway, I'll give the ranchos on the 18 a while and see if they still feel weird or not. If they do, I'll be getting 5100s or fox 2.0 if I can afford them. No, I didn't vote because I don't know yet.