It's a tough question. You certainly won't see me complaining about more diversity. That being said, I feel like a lot could be done better - for instance, why are head coverings like hijabs locked behind a paywall (city living)? It's nice that they're there in the first place, but the fact that you have to buy a 40 dollar pack in order to have a muslim character feels wrong.
When it comes to custom gender settings, I ended up being kind of disappointed. A lot of the clothing items are still unusable, even the ones that have come out after custom genders were implemented. It ended up feeling like a last minute decision that they didn't really follow through on improving or working with. Also, you still can't really make non-binary characters, since the game still assigns your sims as male or female (as far as I've noticed, anyway).
All this rambling to say, I feel like all of the diversity in the Sims 4 feels kind of shallow. I've suspected this from the beginning, but I'm assuming that EA is really only adding all of this "diversity" for brownie points. More diversity ingame is objectively good, and it's not done exactly poorly in the Sims, but I wish they'd put more time into it instead of slapping features on last-minute or locking it behind a paywall and calling a diversity win.
