Yes they can. :thumbsup:
And if you'd like a visible red burning hand-held laser, about 150mW to 250mW on the cheap, there's tons of threads both here, and on Laserpointerforums about using 16X speed DVD burner laser diodes and mounting them in flashlights.
If you have a source for a dead high-speed DVD burner drive, the diode is free. Discussion forum group-buy diodes run about $20 each.
Suitable LED flashlights to serve as the body can be had for about $20, to as little as $7.
If the LED flashlights driver board puts out the proper voltage and current the driver board is "free".
The 5mW Axiz laser diode housing you poke the 5mW diode out of, and put the DVD diode into is $4.
If you need to make a driver board, you can do so with just about $10 in parts from an electronics supplier.
So for anywhere from $13, to about $55, not counting any tools, solder, flux, heatsink compound etc. or, assuming you have them, you can have a laser that will pop baloons and light matches at a distance of 20 feet or more, if you do everything right.