It fits in, that era of punk was art school students and misfits coming together to make rock music the way they thought it should sound
I’m not sure it’s even a punk album. It has more in common with the Thirteenth Floor Elevators and even the Dead than it does with most of the bands it typically is mentioned with. They shared a fashion sense and haircuts with the first wave of punk, but musically it’s a different animal.
It does seem like a lot of the association with other punk bands is attributed to time and place, too. They were clearly part of a specific scene even if their music extended in different directions than their counterparts.