The 24-year-old has been an important attacking outlet for the Serie A outfit this season, scoring eight goals and providing four assists in 36 appearances across all competitions.
According to journalist Ekrem Konur, Arsenal have opened talks with Udinese over a move for the defender, with the Gunners preparing to make a £15m offer.
A previous report, meanwhile, has claimed that the North London club would be willing to offer Pablo Mari - who is currently on loan at Udinese - in exchange for Molina.
It is understood that Mikel Arteta is looking to strengthen his options at right-back to provide more competition for Takehiro Tomiyasu and Cedric.
Juventus and Atletico Madrid have also been credited with an interest in the Argentina international, who is under contract at the Stadio Friuli until June 2026.