If you can name the notes of your chords it makes it that much easier to find tasty target notes. It's all about chord tones and the color notes.
This is one of those "jackasses on both extremes" debates. I think every guitar player benefits from a working knowledge of theory like that, along with some basics about scales, modes, and the circle of fifths. It's pretty much inarguable that it's helpful both in composition, as well as communication with other musicians.
OTOH, every "super theory obsessed" guitar player I know does nothing but navel gaze, dissect minutia, and get "lost in the sauce" as they say. Mostly jazz/bebop "big city elbow pads and newsboy cap" types, with a handful of "modern prog" guys. Their entire guitar world revolves around analyzing every fucking note of every fucking thing, and barely even involves
playing the guitar anymore. Certainly they never actually take the time to write any music, because every time they try they end up endlessly fiddle fucking around with the endless options that advanced theory opens up.
Similarly though, it's almost the exact same for the "Hendrix/Clapton didn't know theory and therefore I don't need to learn it either" guys. They are stuck in a rut where they write absolutely nothing, play the same half dozen classic rock riffs they learned in high school, and desperately avoid interactions with other musicians of any standing because they will be "found out" if asked to improv over anything.
I have lost multiple students because I (gasp!) teach theory and "they didn't want to lose their style" lol
Yeah bro, your amazing personal style would be lost forever if you learned the names of the fucking notes on the fretboard ROFL
