Yes. And they are! This is called the "Angular diameter distance turnaround" (or turnover). In the usual model for expansion $\Lambda CDM$, it is at a redshift of about 1.5 or about 15 billion light-years (corresponding to a light travel time of about 10 billion years, or about 4 billion years after the big bang, the distance is greater due to the expansion of space) I'm using rounded values here, because the actual distance is quite sensitive to the exact parameters of expansion.
A galaxy from 400 million years after the big bang (a distance of 32 billion light-years) would look as big as a galaxy that is 2.7 billion light-years away. (These figures from Ned Wright's calculator)
It's illustrated in this xkcd comic. You can see nearby "galaxies" are large and bright, more distant galaxies are smaller, very distant galaxies are large, dim, and red. More details about this phenomena are answered by Understanding The Turnover Point of Angular Diameter Distance