Seen as one of the best young English talents outside of the Premier League, Gray has performed well this season in a good Birmingham side.
Baggies boss Tony Pulis was at Villa Park last week to watch the Blues play Aston Villa, in which Gray impressed, before sending scouts to track the 19-year-old attacker this weekend, as his side took on Rotherham.
The report claims that Pulis is readying a January bid for the youngster, having been disappointed with the signings made over the summer, as he looks to improve the wide positions in his squad.
Naturally a right-winger, Gray is also able to play on the left and in the centre, and he has shown a willingness to drop deep for the ball and create play from everywhere on the field of play.
Whilst the Baggies are hoping to tie up a deal for Gray, they are facing competition from two of their Premier League rivals - and two of the biggest teams in the division.
The report confirms the first-option clause that Liverpool have for Gray’s services, whilst the Metro reported last week that Arsenal want the English wonderkid in January as well.