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One group thinks it is not a structural issue and the foam is water repellant barrier as well as an insulation barrier.
The second group (of which I am a member) feels that the amount of insulation is minimal and the added strength of wood sheathing covered with a house wrap is of more benefit. When fastening wall ties to a stud through insulation the attachment point is not as solid as it would be through a wood sheathing. Wood sheathing is also better at holding a stud in the position in which it was originally installed and will help keep them from warping. Foam insulation is not nearly as strong as wood.