AS says the 21 year-old has been watched by Real this season, having scored 12 goals in 23 games for Flu.
Pedro recently signed a new deal to 2021, which now carries a buyout clause of €50m.
Real won't consider going close to that figure, but believe a valuation of €20-25m would be realistic for all parties.
Pedro was due to be called up by Tite for his Brazil squad this week, but a knee injury suffered a fortnight ago forced him to miss selection.
Real would consider signing Pedro in January and loaning him to another European club for the second-half of the season.