So yes. Yes it does. Unless you meant that CVEs imply garbage code, in which case I think you read the comment wrong.
> everyone is now aware of the awful engineering practices that underpin their products
This one fault doesn't tell anything about overall quality of the product.
The full sentence:
> The good thing about the fact that Atlassian offers both on-prem and cloud versions of their offerings is, everyone is now aware of the awful engineering practices that underpin their products.
I.e., because the software is available for on-prem deployment, we have experience deploying, managing and debugging it, and therefore know that it is garbage, and we can apply this knowledge to conclude that their cloud offering is garbage.
It does not say the product is garbage because of a CVE.
But every sufficiently complicated product will have defects of this type, and a higher probability of defects does increase the probability of CVEs.
So, it follows in practice, as can be seen by looking at CVE rates from projects with high defect rates (web browsers, kernels, ...) vs projects with low defect rate.
Note that defect rate differences can be caused by multiple things.