I actually don't think it looks that bad. They're not great, but it doesn't weird me out, either...
I'm kind of a little exhausted that so many JRPGs look like a Neptunia game. Basically, if I had to pick and in terms of what style jives better with me, I'd rather my characters look more like they came Valkyrie Profile or Resonance of Fate than Star Ocean. I'm sort of over massive-eyed, rainbow clad,
sunday morning anime look; I like the more serious looking designs like in VP or Xenoblades, or just something a bit more tame looking.
EDIT: Plus what Hathen said. If it's a question of style, SO5 art is so damn cute n' sweet it's giving giving me a cavity.
Still, that said I'm excited as hell this was actually announced, and it's not mobile, and (presumably) will likely make it overseas if the rest of the series' history has any say in it. And after incorrectly circulated news that Tri-Ace was sort-of taking "a step back" from 'big titles', I'm just happy this exists to show how completely false that was.