If you haven't seen the original then I'd highly reccomend as a fun family movie.
If you HAVE seen the original, you will be regularly distracted by just how much was cut from the original. No ugly duckling, no "waiting for family", no explanation for stitch being unable to swim, no "blue punch buggy", nani is regularly irritated/impatient, and the villain/final conflict has been changed.
I enjoyed the film, and I bet your kids will love it. The visuals and music are soectacular. But I perhaps think we were spoiled with the original however and this film isn't nearly as emotional and heart reaching as the original.