My instinct is definitely to do this within a single stylesheet, using the recursive call-template. It's a simple tail-call so any processor with a decent optimizer should be able to handle it without blowing the stack (and 200 calls is usually possible even without tail-call optimization). I would imagine this will save a lot of "start-up" overhead compared with running multiple transformations, and it means your program is essentially all written in one language rather than being split between two, which is always a good thing from the point of view of maintenance, debugging, portability, etc.
Michael Kay
http://www.saxonica.com/
Author, XSLT Programmer's Reference and XPath 2.0 Programmer's Reference