Well, they have been among the favorites the last 5+ years but have managed to get out of the quarterfinals only twice - eventally losing the 2019 final to Bayern and a semifinal to City in 2020.
They have a tough draw in the R16 - Bayern had 6 clean victories with a 18-2 goal difference.

It would not surprise me if PSG gets kicked out in the 1st knockout round.