After scoring nine goals in 41 matches for PSV last season, Pepi has since made a bright start to the 2024-25 campaign, scoring six goals in his opening 11 Eredivisie games.
The 21-year-old, PSV's joint-top scorer in the Eredivisie this season, has also excelled on international duty with USA, scoring twice in as many CONCACAF Nations League games under new boss Mauricio Pochettino this month.
Pepi's impressive form is understood to have caught the eye of several top clubs in Europe, including Liverpool who are allegedly considering a move for the attacker.
A recent report claims that Liverpool's scouts view Pepi as a good fit for Arne Slot's team due to his technical and mental qualities.
Bayern Munich, Borussia Dortmund and Atletico Madrid are among the other European giants who are said to be keeping tabs on Pepi, who is under contract at PSV until the summer of 2028.
According to transfer expert Fabrizio Romano, Pepi's situation at PSV "remains one to watch" as "there's a chance" that he leaves the Dutch club in January.
Romano adds that several clubs have started to approach the youngster, who appears to be emerging as one of the most in-demand attackers in Europe.
Do Liverpool need to sign Pepi in January?
If Liverpool have a strong interest in Pepi and are keen to ensure that they beat other interested suitors in the race for his signature, then a move for the American in January would make sense.
Attacking reinforcements are not thought to be an immediate priority for Slot's side, though, as he already has a wealth of options at his disposal who can play in the final third.
Pepi primarily operates as a centre-forward and would compete with Diogo Jota and Darwin Nunez for regular starts down the middle if he were to join Liverpool in the near future.
Liverpool's alleged interest in Pepi comes at a time when there are doubts over the long-term future of star attacker Mohamed Salah, who is out of contract next summer, but Pepi cannot be considered as a like-for-like replacement for the wide forward.