Yep, as long as they aren't 30" displays.
And, well, not quite out of the box.
One of the ports is ADC and one is DVI.
So if you want 2 DVI displays, you need an ADC-to-DVI adaptor, and if you want 2 ADC displays, you need a DVI-to-ADC adaptor.
I know the ADC-to-DVI is $30 from the Apple Store, don't know about the other.