Now that Nice has expounded upon it, I suppose I see more, but it does seem to be a cheat in a way on some of those things listed.
I don't see how it is a cheat. Not more or less than the default stats you already see (weapon damage, health percentage, value). It is impossible to see which weapon or armor is is better without Display Stats, especially with a low skill level (were often all weapons and armors have about the same damage/armor rating).
If you only play with vanilla items it is easy to choose which one to keep - a dwarven longsword is better than a steel longsword. But with lots of modded weapons and overhauls you don't have these clear categories anymore. Gold value is relative as well and says nothing about the usefulness of a weapon or armor.
With Display Stats I can finally decide which weapon or armor to keep, something that was absolutely impossible before unless the difference between the items was absolutely clear (like one sword doing 5 damage and the other sword doing 20 damage). And I felt that this was extremely annoying since one (not the only one) of the motivations for me to play RPGs is to find new and better equipment.
Not sure why this is in the Useful Houses thread though.