Undoubtably. ;) I'm perfectly happy with HD signals in my Incofus X1. It does not leave me wanting on a 96" 4:3 screen (about 70" 16:9) for any signal, and HD looks great. Yes, other higher resolution projectors would have a better image, but I'm perfectly happy with what I'm getting now and...
No. On the X1, the HD picture looks dramatically better than SD which is barely watchable, and noticably better than DVD. There's a lot more to projected image quality than counting pixels.
What are you using for your HD signal? If you're not worried about counting pixels, how does the picture look? I'm perfectly happy with HD signals in my Incofus X1.