Spoiler: it can (in good light)
I like these kind of comparison, and learningcameras made one I was waiting for: Canon EOS 5D Mark III (price & specs) vs Canon EOS M (price & specs). Even better: you can download the original and full resolution RAW and JPEG files of the images shown in the video-review. The reviewer writes:
Can a $400 camera take as good a picture as a $4000 pro shooter? Do you really need to be investing in extremely high end gear to get top end image quality? And do you really need the weight, size, and risk of a pro camera to deliver uncompromising results? We answer those questions by taking the $4000 Canon 5D Mark III and the $400 Canon EOS M to shoot some $400,000 cars.
As you can see, in good light the results are much less diverging than you may think. These are obviously different pieces of gear that do not play in the same league, but in real life settings the image quality difference is a small one. It’s just about IQ in good shooting situation, not about low light performance or other features as AF. Consider also the small size of the EOS M compared to the bulky 5D Mark III.