Can a vehicle have too much horsepower?
Meh.
Yeah it will destroy the factory tire size.
To much is almost enough.
I have built engines that were, mehhh, ok, and I always regretted it. Even now with almost 500HP and 4.88 rear gear I'm spending money to make more power in a street car.
So my advice is find a fast car and go for a ride then if you like it ok, add 20 percent.