Yes, every genre will work with stylized art. 99% of all the art in games are stylized to some degree, photorealism is more or less just a direction.
How would you feel about a stylistic grpahics approach to this genre? Ex: Borderlands.
But be really careful about stylized art. A common missconception is, that stylized art is simpler or easier to make, which could be a real burden.
Yes, stylized art involved sometimes less work, once you have a working style.
No, creating a stylized art direction is by far not easier than using a realistic style.
The problem is, that coming up with a proper art style is really hard and needs often professional artists. Using reality as base is simpler, because you have lot of references, though using all the details of modern AAA games often have the disadvantage to involve lot of work.
Even games like borderlands don't reinvented the wheel and have for sure some inspiration from art like this (compare the intro for this short to the intro of borderlands I):
Edit: added answer to question first, removed embedded video and inserted it as link.