Both. So far 4 hearts and 2 stamina upgrades.

no, they are sneaky.. only base-hearts count :(

I upgraded Stamina once, it seemed pointless though so Im all hearts now. Currently at ❤❤❤❤❤❤❤❤❤❤❤❤❤❤

Since you can always change the distribution, it does not really matter. But more than 3 stamina upgrades are not needed in my opinion. If you climb and swim a lot, you need at least two.

I keep choosing health but now it is paying is due

I've been taking pretty much the opposite approach, as I find myself in far more need of hearts than stamina normally. The speed stamina runs out while climbing or running great distances can be annoying, but (usually) not lethal at least.

I'm currently at 7 hearts and only 1 stamina upgrade.

I gave in and started buying the normal arrows when I have the chance. Running out when you need them in shrines or to get a Korok seed is no fun. I avoid using the special types when possible. I used 10 bomb arrows on a frost talos (can't touch it for instant freeze death) which if I had bought them would have been 2000 rupees, for a 100 rupee reward to defeat him lol. He dropped gems too anyway to make it less painful.

I wish the game was a bit nicer with loot. Put what I need in those hard to get chests instead of another bow or sword I already have and can't carry. There are so many chests I have left behind full which could all have had some nice arrows in them instead, or gems.

Are gems needed for anything btw? I've been saving them up as I haven't really found much to buy so far other then arrows. Just the full Rito gear but I payed that with cooking gourmet dishes :)

I have 5 hearts now, no armor uogrades and still easily get ganked. Fighting more than 1 enemy at a time with a 2 hander is a no go. I do like how you can get quick hits in with 2 handers by charging at enemies, momentum for the win. Yet cancelling and putting the shield back up usually takes too long when there's a second enemy running around. And don't charge at bears, they're not impressed lol.

 I haven't even seen a bear yet LMAO. You haven't sold any of your jams? That's pretty much the only purpose they have. There are some items you can use them for, but I never found a use for any of them. Save 12 luminous stones though, you will need them for an armor set. Everything else  I think you should sell. If you've been hoarding gems, you'll have literally thousands, Potentially tens of thousands of rupees.I resorted to just buying all of my arrows. There seems to be no more convenient way than that. But you get so much money mining that you really don't notice.  Especially when you're at where I am, and you've pretty much bought all of the armor sets and stuff that you care about in the game. I have a few more, but they are dumb expensive, so i'm just going to grind rupees for them later. But yeah, sell your gems and nothing else, or you'll be poor.

Also, definitely upgrade your armor.

I just beat the Devine Beast Naboris with 5 hearts and a triple defense elixer. All my Spirit orbs are going to Stamina. There are so many places you can get to with more stamina and you can carry a lot of cooked meals to keep those hearts full.

No Master Sword for any of you stamina players