Simply click below to discover how you can take advantage of this. Why I’d shun this high-yielding FTSE 100 stock that ticks a lot of investors’ boxes Our 6 ‘Best Buys Now’ Shares Renowned stock-picker Mark Rogers and his analyst team at The Motley Fool UK have named 6 shares that they believe UK investors should consider buying NOW.So if you’re looking for more stock ideas to try and best position your portfolio today, then it might be a good day for you. Because we’re offering a full 33% off your first year of membership to our flagship share-tipping service, backed by our ‘no quibbles’ 30-day subscription fee refund guarantee. FREE REPORT: Why this £5 stock could be set to surge See all posts by Kevin Godbold However, I’d take a close look at this one. Are you on the lookout for UK growth stocks?If so, get this FREE no-strings report now.While it’s available: you’ll discover what we think is a top growth stock for the decade ahead.And the performance of this company really is stunning.In 2019, it returned £150million to shareholders through buybacks and dividends.We believe its financial position is about as solid as anything we’ve seen.Since 2016, annual revenues increased 31%In March 2020, one of its senior directors LOADED UP on 25,000 shares – a position worth £90,259Operating cash flow is up 47%. (Even its operating margins are rising every year!)Quite simply, we believe it’s a fantastic Foolish growth pick.What’s more, it deserves your attention today.So please don’t wait another moment. Get the full details on this £5 stock now – while your report is free. I would like to receive emails from you about product information and offers from The Fool and its business partners. Each of these emails will provide a link to unsubscribe from future emails. More information about how The Fool collects, stores, and handles personal data is available in its Privacy Statement. Enter Your Email Address Kevin Godbold | Wednesday, 17th February, 2021 | More on: RIO Image source: Getty Images Of course, share price levels mean little in themselves and good investing is all about analysing the fundamentals and valuations of underlying businesses. But the highs on the Rio Tinto chart have almost always been fleeting and followed by precipitous plunges.Valuation compression is a ‘thing’After all, this business is cyclical. And its nature means revenues, cashflows, earnings, shareholder dividends and the share price will likely fluctuate. Meanwhile, City analysts predict an advance in earnings in 2021 of around 30%. If this was a growing business in a less cyclical sector I’d expect a lofty valuation with those growth prospects.But with the share price near 6,477p, the forward-looking earnings multiple for 2021 is just above nine. And the anticipated dividend yield is a little under 7%. That valuation looks undemanding.But when cyclical businesses are posting big profits, the stock market tends to compress their valuations. That happened with the London-listed banks over the past decade before the Covid crash, for example. And I think it could be happening with Rio Tinto.So, as profits perhaps continue to rise in the years ahead, the valuation could contract to account for those increases rather than the share price going up. And I reckon that could happen because the next cyclical down-leg is coming. We just don’t know exactly when!Rio Tinto may prove to be a decent investment from where it is now. But I’ll watch from the sidelines for the time being. Kevin Godbold has no position in any share mentioned. The Motley Fool UK has no position in any of the shares mentioned. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors. At first glance, FTSE 100 miner Rio Tinto (LSE: RIO) looks like an attractive stock. It’s got a high dividend yield, a low-looking valuation, escalating profits and modest levels of debt. And those attributes combine with positive director comments to make the share appear a potential winner. And it may prove to be.Why I’m cautious about Rio Tinto nowHowever, I’m cautious about Rio Tinto right now. My first consideration when appraising a company in the mining sector is cyclicality. And I’m mindful of the advice written by Peter Lynch, who once excelled in managing the Fidelity Magellan Fund. He cautioned that cyclical stocks can be at their most dangerous for investors when they look at their most attractive. And that usually occurs after a long period of strong earnings.5G is here – and shares of this ‘sleeping giant’ could be a great way for you to potentially profit!According to one leading industry firm, the 5G boom could create a global industry worth US$12.3 TRILLION out of thin air…And if you click here we’ll show you something that could be key to unlocking 5G’s full potential…And I think Rio Tinto is in that zone now. Earnings have been riding high since dipping into negative territory during 2015. In today’s full-year report, the company posted underlying earnings per share 21% higher than the prior year. And net debt fell from $3,651m to $664m.The FTSE 100 business has been trading well. And the directors increased the ordinary shareholder dividend by 21% with a special dividend on top of that. Chief executive Jakob Stausholm said in the report the year had been “extraordinary”. He reckons “strong commodity prices” helped drive the good performance of the business.But if commodity prices fall in the future, so might the company’s profits and cash flows. And if that happens, the share price and shareholder dividend payments will likely decline as well. Meanwhile, the stock is currently trading above the top of its previous multi-year range.