I would think a closed/tight grain like cherry or maple would give a sharper laser line. Some woods (like pine) with distinct early/late season growth rings can have different densities which can make for consistency issues. White oak may or may not have this issue.
I'll see if I can run a test today as I have plenty of WO and cherry scraps.
Is there a finely detailed design involved or just some lettering? Also would be good to know if there are largish areas that get filled (engraved).