The rally in the market over the past few months has pushed valuations higher. The S&P 500 currently trades at a forward PE approaching 20 times. While that's not necessarily nose-bleed territory, it's not exactly cheap, either.

Despite rising valuations, bargain hunters do have some compelling options. Brookfield Infrastructure (BIP -1.36%) (BIPC -1.64%) and Williams (WMB -0.36%) still trade at bargain basement valuations. That's one of the many reasons investors shouldn't hesitate to buy shares.

Two inexpensive ways to invest in this fast-growing infrastructure company

Brookfield Infrastructure grows surprisingly fast for a company that operates boring businesses like pipelines, ports, and petrochemical plants. The global infrastructure operator has grown its funds from operations (FFO) per share at an 11% compound annual rate over the last decade. That's given it the fuel to increase its dividend by an impressive 9% compound annual rate.

The company expects to grow its FFO per share by more than 10% from last year's level of $2.71. That should push FFO to around $3.00 per share. Strong organic growth drivers (including elevated inflation and the completion of its Canadian petrochemical complex) and $2.4 billion of acquisitions over the past year help drive that outlook.

Despite that strong growth rate, units of Brookfield Infrastructure Partners currently trade at around $36 apiece, giving it a forward PE ratio of around 12 times. While its economically equivalent corporate twin, Brookfield Infrastructure Corporation, is a bit more expensive at around $47 a share, it's still a relative bargain at less than 16 times forward earnings. Those lower valuations are why Brookfield Infrastructure offers higher dividend yields (3.3% for the corporation and 4.3% for the partnership compared to 1.5% for the S&P 500). 

Brookfield should continue growing at an above-average pace in the future. It has a trio of organic growth drivers (inflation-indexed contracts, economic growth, and expansion projects) that should fuel 6% to 9% FFO per share growth over the long term.

Meanwhile, the company's capital recycling strategy of selling mature assets and reinvesting the proceeds into higher returning opportunities further boosts its bottom line. The company has secured three new acquisitions this year, agreeing to buy two more data center platforms and a global provider of transportation logistics infrastructure. Along with its organic growth drivers, including the upcoming completion of a major semiconductor fabrication complex, these investments give it lots of momentum to continue growing brisking in 2024 and beyond. 

Another growth wave is coming

Natural gas pipeline giant Williams expects to generate between $3.86 and $4.18 per share of adjusted FFO this year. With shares recently trading at around $33 apiece, Williams sells for around eight times its forward earnings. That's a bottom-of-the-barrel valuation. It's why the company has such a high dividend yield (currently 5.4%) even though it has very strong dividend coverage (around 2.3 times adjusted FFO).

Williams trades as if it never grows, which isn't the case. The company has increased its adjusted EBITDA at an 8.5% compound annual rate over the last five years.

It's currently investing toward a breakout year in 2025. It has several expansion projects underway, including expanding its major Transco pipeline, building the Louisiana Energy Gateway project, and completing five major projects in the Gulf of Mexico. Over the long term, Williams expects adjusted EBITDA will grow by 5% to 7% per year.

Meanwhile, Williams has a knack for completing value-enhancing acquisitions to supplement organic growth. Last year, it acquired MoutainWest, NorTex, and Trace Midstream. Those accretive deals supplied it with incremental cash flow and new expansion opportunities. Williams has the balance sheet strength to continue making accretive acquisitions as opportunities arise to further enhance its growth.

Growth and income for a bargain price

Brookfield Infrastructure and Williams generate steady and growing cash flow. That gives them the money to pay attractive dividends and invest in expanding their operations. Despite that growth, they trade at cheap values. That makes them great buys right now for bargain-hunting investors.