I would avoid comparisons to the UE5 demo for several reasons.
We all knew HFW was not a "true" next generation game and would be likely held back by cross generation support.
What Epic are doing with Unreal Engine is amazing but there are some good criticism which we can make against it, one being the severe lack foliage and it's rendering, the demos for some reason have stuck to dry dessert lands, sure they look amazing in terms of geometric detail but they are starting to look "bland". Another is the performance, I said this a while back on this thread that the Unreal Demo was throwing around insane number of polygons, such a number would never be featured in proper games due to bottlenecks in filesize. In fact, I'll put my money on that we'll see or get a glimpse of a triple A game which looks better and more diverse than UE5 whilst also having moderate performance (1440p to 4K).
Let's not forget also that several of Playstation's first party studios don't even use Unreal Engine, from games like God of War, Uncharted, Last of Us and Ghost of Tsushima and I don't think that's going to change anytime soon, the ICE team propriety engines are on another level all together.
But back to my main point, sure we can criticise what we're seeing right now from the HFW stream but lets at least reserve judgement until we see the gameplay demo but let's also not compare everything to the UE5 demos, because sometimes those comparisons are not valid, especially when comparing them to games which have a totally different art style, animation and offer cross-gen support.