owls_again Generally you should aim for a 16:9 ratio on pixels for your display. That will ensure it looks good on all devices and stretch accordingly.
16:9 Aspect Ratio Primer
as for text, sometimes fonts love to take the scale of an object that their label is "owned" by. So if a parent object has scale of x multipled by 5, this happens to the font by default when you drop it in. May want to explore Dafont's large collection of 100% free fonts (make sure they don't require a license) and play around. Godot's default font.... uh.... sucks. For lack of a better word.
I think most Godot devs usually use different fonts than the default. Have you loaded any new font files yet or are we talking default godot?
Also - the outline feature on fonts is helpful for making text POP better.