I had a couple of issues with my M1 Pro 16 last fall with external monitors. The worst were memory leak issues but there was some monitor glitching. It's possible that it was cables. My solution was to just use the M1 Pro 16 as a laptop and have a separate desktop and this works really well. The desktop is composed of an M1 mini driving 2 4k displays, a 5k iMac, a QHD iMac and a 2015 MacBook Pro 15 driving a QHD 25 inch display. Everything just works as it should. The monitors don't black screen, things wake up quickly (the 2010 iMac 27 is the slowest for waking up at about 5 seconds).
I have not tried the M1 Pro 16 with external displays for a while but they were fine the last time I tested but it was only a ten minute test. I did have problems with the M1 mini and black screens and sleep/wake problems but they seem to have been resolved with better cables and software updates.