It’s legit in the sense that they use this originally in forensics to reconstruct faces I think , say a victim or unknown so they can put out a search pamphlet.
They know the relative muscular thickness for each area as to compile a likeness. Is it 100% a look-a-like? Probably not, but the main features and composition should be comparable to the original face.
I'm not sure what would be "pseudo-science" about it, but it is as legit as it can be. Reconstruction of a face from a skull is possible, but the goal is not to create an image that's indistinguishable from a hypothetical photograph of the subject. Rather, the intent is to form a general idea of what people of the time period would have looked like. Facial reconstruction is guided by current understanding of anatomy, musculature, aging processes, etc. Muscles and skin are attached to the skull based on modern human and primate anatomy, so what we get is a plausible representation of what someone with this exact skull shape may have looked like. Like with the dinosaurs, we cannot be 100% certain what the superficial exterior features looked like exactly. But, unlike with the dinosaurs, we know neanderthals are very closely related to modern humans, so we have a much more reasonable base to start from, as we can assume their facial muscles, skin, hair etc. would be similar to humans, but with different proportions. Plenty of real science goes into the process.
Neanderthals are a distinct species. If "human" in the context you are using it is confined to Homo sapiens then no, Neanderthals are not human. If your definition of human is anything in the genus homo then yes, Neanderthals are human.
"Species" and "genus" are human (hey-o) concepts that we impose on the natural world to try and understand it, and ultimately this depends on who you ask.