Stock valuation. In the statements below, multiples valuation refers to multiples of earnings (which could be earnings of different types, for example, EBITDA, EBIT, Earnings per share). In other situations not considered in this question, multiples valuation can be done using different metrics, for example, square feet for a building, tons of reserves for a mining project, monthly active users for a technology business. For this question, we are only considering earnings as the metric. Which statement below is correct?

a. Multiples valuation can be used to value high growth companies, but only if dividends are paid.

b. Multiples valuation can only be used to value low growth companies.

c. Multiples valuation can be used, regardless of whether earnings for the firm being valued are positive or negative.

d. Multiples valuation can only be used if earnings for the firm being valued are positive.