@Matt: There are several things that I have an issue with. 

1. He's the chosen one of a prophecy that states he will end the world. That is a pretty heavy Sue trait to have, even if the other parts of the character balance out, and it's kind of hard to swallow.
2. He essentially has nine powers at his disposal. (I included the communicating with old gods thing and excluded the transformation) That's far above what any character has.
3. You specifically mention that he has limitless potential.
4. The sensing good and evil thing would preemptively end any attempt at stealth by a villain, as no one would be allowed to join the team or be on the grounds without first going through the background checker.