When training horses, rewards are important, but a food reward is not always the answer. When training an animal like the horse, the positive reinforcment really needs to be immediately after the desired response rather than well after the action has taken place. If given at the effective time, however, this is a good reward, and can often help the trainer gain the horse's trust.
As with all other things, however, treats should always be given in moderation. It is possible to have too much of a good thing. Overuse of hand given treats may result in nippy, greedy horses. This is especially true of young horses and Stallions. The moral of the story is use common sense when giving treats.