My smartphone has good electronic image stabilisation for videos and it works very well. However, that's only part of the issue as there are other parameters that will affect image quality.
Videos are more about capturing fluid motion and as such there's probably a better chance of reading detail i.e number plate, when running the playback than there is in capturing a single frame.
Frame rate is important for fluid motion but if you want a single frame to capture detail then shutter speed is important. The typical rule of thumb for video capture is that the shutter speed is linked to the frame rate as follows - 30fps 1/30th sec; 60fps 1/120th sec - and so on.
At these shutter speeds individual frames may well appear blurred. If you increase the shutter speed then you need more light. Apertures on dashcams and smartphones are fixed so the only other option is to increase the sensitivity - ISO speed. Which may well introduce more noise.
Then of course there's the compression of the resulting image data to produce a manageable file size - important in dash cams which may need to run for a long while. This is not a lossless process and detail often gets lost or aritfacts become apparent.
Quality of the lens is yet another factor. There's no point in packing more pixels onto the sensor if the piece of glass or plastic in front doesn't have much resolving power.
Taking into account all of the above I think it would be fair to say that the cheaper the dashcam, the less likely it is you'll get a good quality image.