The British news outlet claims that the Magpies are in the race for Pedraza alongside Premier League rivals Southampton for the 21-year-old winger.
Pedraza is currently on loan at Spanish club Alaves from La Liga rivals Villareal, while he also enjoyed a temporary spell in England last season with Leeds United.
It is understood that the Magpies scouts have already watched the Spaniard in action for Alaves this season and are interested on bringing him back to England in either January or next summer.
The report adds that Leeds had a must option to buy the wide man for £9million if the Whites were promoted from the Championship last season, but he return to Villarreal in the summer when they remained in the division.
Alfonzo Pedraza a good move for Newcastle?
Newcastle could certainly do with a new competition in the wide areas as Christian Atsu remains a permanent starter without producing much end product.
Rafael Benitez has shown that signing players from his homeland Spain has worked so far, but the Spaniard may be a step too far.
The young winger has a lot of potential, but there is yet no assurance Pedraza could succeed in the Premier League.
He managed just one goal in 14 appearance for Leeds last season and looked lightweight at times, despite possessing brilliant technical ability.
It would be a huge risk to splash the money for the Spaniard and although Mikel Merino is a great example that these deals do work, Newcastle should probably stay clear of this one.
Alfonzo Pedraza to Newcastle likely to happen?
Benitez’s side may be looking to battle Southampton for the Spaniard’s signature, but any January deal seems impossible as he is currently playing during his season-long loan spell with Alaves.
The Toons could reignite interest next summer and Villareal could more than likely be tempted by a big deal, considering they were prepared to let the Championship side sign him before the £9million deal collapsed.
Benitez could be a big factor in trying to sign his compatriot, but the North East club are unlikely to know more until next year.